Demand for smartphone continues to explode

As expected, the global demand for smartphones rose through Q2 ‘09, with analysts predicting continued growth over the next eight quarters.

Nokia still has control of the global smartphone market, with 44.3 percent control, shipping 16.9 million units during Q2.  Research In Motion (RIM) with its BlackBerry line of smartphones controls 20.9 percent of the market, with Apple trailing in third place, with 13.7 percent of the market, according to research firm Canalysis.

Apple sold 5.2 million iPhone 3GS and 3G smartphones during Q2, though now faces issues related to overheating and exploding phones.

Overall, the global market grew 13.4 percent in Q2 compared to 2008 Q2, with that number expected to continue to rise in the future.

In the United States, RIM controls 52 percent of the smartphone market, though Apple has grown steadily, now with 23% of the market.  However, iPhone sales increased a whopping 365% in Q2, while RIM’s growth was just 29%, research numbers indicate.

“RIM has successfully expanded its product portfolio to include a wide selection of devices and interfaces that appeal to a range of customers at different price points,” according to Chris Jonese, Canalys VP and principal analyst.  “This includes 2.5G models that are smaller, lighter, lower cost, and have better battery life than most of its 3G rivals.”

Nokia, HTC, and Microsoft Windows-based phones saw decline in market control, though are releasing additional phones in the future to better compete with Apple and RIM.  Nokia, despite its global dominance, has never been able to achieve smartphone success in the U.S., but has several new smartphones it hopes U.S. consumers will be interested in purchasing.

Expect Nokia to attempt to capture more of the U.S. smartphone market, with its global dominance being further challenged by RIM and Apple over the next couple of years.  Nokia and Microsoft recently created an alliance to better compete with RIM, so it will be interesting to see if that partnership yields any positive results.   Smartphone growth will also continue to rise, especially among emerging markets, as phone manufacturers target the phones towards casual users.