Android to overtake all other players combined in the worldwide devices market
Google’s (GOOG) Android isn’t just dominating the smartphone operating system market. It could eventually dominate the overall device OS market, which includes traditional PC (desktop and notebook computers), tablets, mobile phones, and other ultramobiles (hybrid and clamshell) by 2015. This forecast comes from a Gartner report that predicts Android will overtake all other players combined together in the devices market by 2015. The other leading operating systems are Windows from Microsoft (MSFT), iOS from Apple (AAPL), and BlackBerry (BBRY). By 2015, Android will represent about 1.36 billion devices, while all other operating systems combined will represent about 1.27 billion devices.
Mobile phones will dominate the devices market
According to the same report, by 2015, mobile phones will comprise about 75% of overall devices, while the PC, ultramobile, and tablet spaces will comprise the rest of the market. No wonder players like Microsoft, which has traditionally dominated the PC operating system market, are trying hard to push their way in the mobile phone market. Last year, Microsoft announced its intention to acquire Nokia’s (NOK) mobile phone business for a valuation of $7.2 billion. Yesterday, Nokia announced that it has received regulatory approvals from China for the sale of its handset business to Microsoft, which is good news for both companies.
Mobile phone market growth will come from cheaper phones
According to Gartner, “The growth in 2014 is projected to come from the lower end of the premium phone market and the higher end of the basic phone market. While the lack of compelling hardware innovation marginally extended replacement cycles in 2013, we’ve witnessed an upgrade path in the emerging markets. Latin America, the Middle East and Africa, Asia/Pacific and Eastern Europe have all upgraded their phones, which will help to compensate for mature market weakness in the near term.”