© dimitry romanchuck dreamstime.com General | July 18, 2013
Cornucopia of Choices
With most of the top brands introducing new flagship models in the first half of 2013, smartphone buyers now have more choices than ever, a phenomenon that will contribute to an expected doubling in market shipments from 2012 to 2017.
Worldwide smartphone shipments will reach 1.5 billion units in 2017, up from 712 million in 2012, according to information and analytics provider IHS Inc. Shipments this year are set to rise to 897 million units, up from 712 million in 2012. In the years that follow, shipments of smartphones will expand at a compound annual growth rate (CAGR) of 15.8 percent, reaching 1.1 billion units in 2014, followed by 1.2 billion in 2015, and 1.4 billion in 2016. “The volume of new flagship smartphone releases from top original equipment manufacturers (OEM) this year has been astounding,” said Wayne Lam, senior analyst for consumer and communications at IHS. “These include the new BlackBerry Z10, the aluminum uni-body HTC One, and an update to the Samsung Galaxy S4 featuring a Full HD 5-inch active matrix organic light emitting diode (AMOLED) display.” On the other hand, Apple’s iPhone franchise appears to be stalling as first-quarter shipments of 37.4 million fell below expectations. With the next iPhone model not expected until the second half of the year, there is a real possibility that the full-year 2013 sales volume of the iPhone may be essentially flat at around 150 million units, compared to 134 million units in 2012. “The possible slowing growth of the iPhone and the rapid pace of competitive smartphones releases speak to the ferocious nature of the handset business, especially now as the market continues to pivot from a market dominated by lower-end handsets known as feature phones to one that is increasingly smartphone-centric,” Lam said. Outshipped The trend of deeper smartphone penetration continued in the fourth quarter of 2012 and the first quarter this year, as smartphones outshipped feature phones in the overall branded cellphone market. After a seasonally high fourth quarter, which saw total mobile handset shipments topping 400 million units for the first time, handset shipments in the first quarter of 2013 contracted by nearly 50 million units quarter-over-quarter, keeping with seasonal sales trends. Samsung continued its strong growth in the first quarter with a sequential increase of 9 million units, while brands such as Coolpad and Gionee outshipping the likes of HTC and Motorola in the first quarter. Chinese smartphone OEMs were able to accomplish such growth on the back of a catalog of largely affordable smartphones, while Samsung rolled out a number of low-cost variants to its high-end flagship products. These competitive forces, as well as changing consumer demand, will place pressures not only on Apple but also on other OEMs, IHS believes, forcing players to innovate and diversify smartphone offerings in order to continue growing. Just innovate Innovation in smartphone design is becoming a necessity for OEMs as consumers demand more immersive user experiences and visual content. Many smartphones, for instance, are moving to 5-inch or larger full HD displays to accommodate consumer desire for these experiences. In parallel with an expanded display, the overall footprint of smartphones is likewise increasing because of larger batteries, which will then allow for more powerful processors, associated memory and sensors. But these expanded features come at a cost to OEMs, driving up the dollar content of electronics and pushing the bill- of-materials (BOM) cost for the devices. Still, as variations in smartphone designs increase, opportunities to win design slots multiply as well for component suppliers—developments that bode well for the overall smartphone supply chain.
Morrow Batteries to build the first giga battery cell factory in Norway Morrow Batteries says it will build battery cell production in Norway in order to meet increasing market demand and lead the drive for more sustainable batteries.
Groupe PSA and Punch Powertrain team up on electrification Groupe PSA and Punch Powertrain have signed an agreement to establish a second Joint Venture and expand their strategic partnership in the field of electrification, to contribute to fight against climate change.
Aspocomp starts phase two of its plant investment in Oulu Finnish PCB manufacturer company Aspocomp, has been granted a total of EUR 1.35 million in development support by the ELY Center for the implementation of the second phase of its Oulu plant investment.
Global semiconductor sales down 1.2 percent in April 2020 Global semiconductor sales in April 2020 were USD 34.434 billion, up 6.1% versus the same month in 2019, says the European Semiconductor Industry Association (ESIA).
Cobham RAD sold to Radiation Test Solutions Cobham Advanced Electronic Solutions says that it has sold its Cobham RAD radiation testing business in Colorado Springs, to Radiation Test Solutions, Inc. (RTS).
Construction starts at Kyungshin new factory in Serbia The South Korean automotive company has initiated the construction of its new facility in the municipality of Smederevska Palanka in Serbia – once completed 700 new jobs will be created.
Manz is expanding within its contract manufacturing segment The German engineering company says it is registering lively interest in contract manufacturing from a wide range of industries. Manz is thus further expanding its business in the contract manufacturing segment at its locations in Slovakia and China.
Celestica to manufacture ventilators for the Canadian market EMS provider Celestica has won a program to build 7,500 ventilators for StarFish Medical Inc., a Canadian medical device company, at Celestica’s operation in Newmarket, Ontario.
Ouman Estonia starts an expansion project Despite the current uncertain economical environment, Ouman says it believes in a brighter future and that the company is proud of the performance in its factories.
Reshaping production post COVID-19 As manufacturers re-open after COVID-19 related lockdowns, economic and supply chain disruptions may be felt beyond 2020. How companies shift in the short-term and plan for the long-term will be factors in defining “new normal” for the component industry.
Swedish EG Electronics acquires WEAB EG Electronics AB, a KAMIC Group company, has acquired all the shares in WEAB, Wermlands Elektronik AB.
ZF completes its acquisition of WABCO ZF Friedrichshafen AG has successfully completed the acquisition of commercial vehicle technology supplier WABCO, having gained approval from all required regulatory authorities.
Romanian EMS provider expands as it relocates Romanian EMS-Electra has successfully finalised the process of relocating to a new building, in the industrial area of Iasi, Romania.
Circuit Check partners with major healthcare company to build ventilators In early March, when a long-standing customer to the company, a major healthcare company approached Circuit Check to partner together to build over a dozen tests systems to assist in the COVID-19 efforts, Circuit Check responded quickly to the challenge.
TI maintains firm grip as world's top analog IC supplier TI's 2019 analog marketshare grew to 19% and ST climbed to fourth place as the top-10 suppliers collectively accounted for 62% of total analog sales.
Big Ass Fans adds third Hentec/RPS machine Complementing the purchase of two Hentec Industries/RPS Automation Vector 300 selective soldering machines in 2018, Big Ass Fans (BAF), a high-volume, low- speed (HVLS) airflow manufacturer, has just added a third machine to its factory in Newman Lake, Washington.
CE3 Electronics Inc. taps MIRTEC for 3D AOI technology Canada-based CE3 Electronics has purchased a MIRTEC MV-6 OMNI 3D AOI machine.
Gémosz is still looking to grow – but the pandemic brought new perspectives Winston Churchill famously said, “Never let a good crisis go to waste”. While this was said in a vastly different context than the current crisis of the COVID-19 pandemic, there is still truth to the fact that a crisis not only allows for change – but sometimes forces it.
North American PCB industry sales up 4.3% in April The IPC says that total North American PCB shipments in April 2020 were up 4.3% compared to the same month last year. Compared to the preceding month, April shipments fell 18.2%.
Volkswagen intensifies e-mobility activities in China Volkswagen has initiated the next chapter for its business in China. The automotive giant plans to increase its share in JAC Volkswagen, its joint venture for e-mobility.
GPV Selects Aegis as global smart factory partner Driven originally by accelerating customer expectations for traceability, GPV has selected Aegis’ FactoryLogix Smart digital manufacturing solution, targeting multiple values and benefits.
REDCOM EMS expands certification for medical device manufacturing New York-based REDCOM EMS has secured ISO 13485:2016 certification, complementing the company’s existing ISO 9001:2015 and AS9100D certifications.
Ozark Integrated Circuits nabs U.S. Air Force grant Arkansas-based Ozark Integrated Circuits Inc., located in the Arkansas Research and Technology Park at the University of Arkansas, has received a USD 750,000 award from the U.S. Air Force.Load more news