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Taiwan GPRS handset market share to increase in 2H 2002

Posted: 15 Oct 2002 ?? ?Print Version ?Bookmark and Share

Keywords:mobile phone? GPRS handset? 3g?

Taiwan mobile phone shipments are expected to see an 86.3 percent year-on-year increase to total 15.8 million units in 2H of 2002, according to Market Intelligence Center (MIC), a Taiwan-based IT intelligence and consulting firm. Growth is said to be primarily driven by shipments in Q4, as more handset makers are expected to obtain international vendor certification and overcome the low yield rates intrinsic to the bottom of the learning curve.

According to MIC, a large portion of these increased shipments will be GPRS models, which is expected to account for about 35 percent of Taiwan's mobile phone shipment volume, accounting for almost a quarter of global GPRS shipments. By the end of 2002, total handset shipment volume from Taiwan will amount to 6.8 percent of worldwide shipments, and is expected to further increase to over 20 percent by 2006.

"In addition to a larger number of GPRS shipments, this growth is a major symptom of the increasing maturation of GSM handsets," said Feng Lin, Industry Analyst with MIC. "Faced with future 3G design and time to market considerations, leading brand-name vendors are increasingly turning design and production over to Taiwanese manufacturers"

MIC explains that the record high volume was accompanied by a new high in shipment value, totaling $446.4 million in Q2 of 2002. While this 126 percent increase was also a product of more GPRS shipments, consecutive growth failed to keep up with that of shipment volume. "The prices on certain models sold by brand name vendors have seen even sharper decreases. Combined with the strong buying power of brand name vendors that are involved in large-scale outsourcing of value-line handsets to Taiwanese makers, shipment value has lagged behind volume," said Lin.

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