ZTE becomes world's fifth biggest smartphone manufacturer

As per latest reports, ZTE has emerged as the world's fifth biggest smartphone manufacturer, displacing Research in Motion (RIM). As per figures with global research firm IDC, the company managed to ship 8 million smartphones in the second quarter of 2012. This is a whopping 300 percent increase from what the company had managed to achieve last year in the second quarter. The report further adds that one of the factors to have driven ZTE up in the order has been the shipping of its low-cost entry-level smartphones to China. ZTE has also posted increased international smartphone sales figures, specifically in the U.S. However, the report adds, "Despite impressive gains last quarter, brand equity may prove to be an issue for ZTE in future. Strong brand recognition is a necessity if high-growth smartphone sales abroad are a priority for the company".

ZTE becomes the fifth biggest smartphone manufacturer globally

As per one of our previous reports, South Korea-based Samsung Electronics has managed to extend its lead over Apple in the smartphones arena, partly because its new Galaxy phones were introduced before Apple upgraded its iPhone. The report further found that Samsung Electronics Co. shipped 50.2 million smartphones worldwide in the second quarter, and had a market share of 33 percent, up from 17 percent a year ago. Apple Inc.'s shares fell to 17 percent from 19 percent a year ago. It sold 26 million iPhones in the April-June quarter. 

Ramon Llamas, senior research analyst with IDC's Mobile Phone Technology and Trends team, quoted, "With half of 2012 behind us, vendors are looking ahead to 2013 and how key markets – particularly Europe and emerging markets – will play out. Despite recent maneuvers to shore up several countries within the Eurozone, the effectiveness of these efforts remains to be seen. Meanwhile, emerging markets will continue to be strong contributors due to their sheer size and growth trajectory, but how much they can offset potential declines in other countries is unclear."