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Samsung beats Motorola on home-turf, becomes leading mobile phone manufacturer in US

November 7, 2008 by Will Park - Leave a Comment

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No matter how dismal Motorola’s handset manufacturing business might have done, the higher-ups at Moto could always comfort themselves in knowing that Motorola was still king-of-the-hill on its home turf. Motorola has been riding the top of the US handset charts for years now, grabbing US cellphone market share that no other manufacturer has been able to touch. Until now.

Samsung has just taken Motorola’s crown as the top-selling handset manufacturer in the US. With 22.4 percent of the US cellphone market, Samsung bested Motorola by 1.3 percent. Motorola’s 21.1 percent market share allowed it to hold on to the runner-up spot, just barely beating out rival LG’s 20.5 percent market share.

The news of Samsung’s market-leading position in the US bodes badly for Motorola. The Chicago-based Motorola has relied on the huge US wireless market to keep its cellphone manufacturing business afloat, but with its market share eroding on a daily basis and no buy-out in sight, Motorola may have to face the grim prospect of having to close up shop.

Motorola recently announced that it would be supporting the Android OS and the open-source movement associated with the mobile OS from Google. The move could bolster Motorola’s handset sales if the company can bring to market a sleekly styled handset with advanced features. But, in the end, it will be the consumers that determining whether or not Motorola is doomed.

In the short-term, expect Motorola to pass on the No. 2 US market share position to LG in the coming quarters.

Without competent leadership, Motorola is likely doomed in the long run.

[Via: MocoNews]

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