Posts Tagged ‘Smartphone’

Smartphone Sales Up, Costs Down

Thursday, March 5th, 2009

CNET is reporting some great smartphone statistics based on findings from market research firm NPD Group.

Sales of smartphones rose 11% from 4Q 2007 (12%) to 4Q 2008 (23%). As is usually the case with evolving electronics, rising sales mean falling prices. The average cost of a smartphone these days hovers around the $200 mark, with carrier contracts that include data service plans to keep users connected. The report notes that 66% of smartphones sold in 2008 use a 3G wireless network — up from 46% from the previous year.

While the price of phones may be dropping, the carriers generally require a two-year contract for service, which can be costly or not, depending upon the users’ needs. Currently, the major smartphone players are:

iPhone — AT&T
BlackBerry Storm — Verizon
G1 — T-Mobile
PalmPre — Sprint Nextel

Smartphone users generally purchase more accessories for their phones — 52% compared to 41% of cell phone users. NPD Group suggests that with the falling handset costs, selling more accessories is a good way for carriers to turn a profit.

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