Mirroring the pattern seen in developed economies, China's mobile telephone market is increasingly concentrated in the hands of a few key manufacturers.
Nokia, Motorola and Samsung accounted for 61.4% of the overall mobile phone market in the first half of 2007, up almost 9% year-on-year, according to figures from CCID Consulting.
Nokia and Motorola both saw a notable rise in their market shares — their combined share rose almost 10% — and CCID Consulting argues that the main reason behind this is that the two companies staged major offensives in the low-end mobile phone market in the first half of 2007.
Lenovo, in fourth place, is the leading homegrown brand with a 5.7% share, slightly ahead of Sony Ericsson's 4.9% share.
Nokia and Motorola accounted for 57% of the market of mobile phones priced between 500 yuan and 700 yuan. Their share of the market of mobile phones priced under 500 yuan reached as high as 70%.
More than 71m mobile phone sets were sold in China in the first half of 2007, a 25% rise on the year-earlier first half. Volume sales growth appears to be decelerating however, as first-half volumes soared 35% between 2005 and 2006. While volume sales growth is still healthy, revenue growth is less so because of tumbling handset prices. Revenues rose just 5.5% year-on-year to 85bn yuan in the first half of 2007.