Jam today for BlackBerry

Sales of devices based on the mobile email platform have soared over the past year

By Iain Thomson

08 Aug 2004

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Take-up of the BlackBerry mobile email device is soaring, according to figures released by analyst firm Canalys.

Sales were up by 333 per cent in the second quarter of 2004 compared with the same quarter in 2003.

Manufacturer Research in Motion (RIM) also has started embedding the BlackBerry software in mobile phones. Both Siemens and Motorola are to due to release such phones by the end of the year.

Further reading

Rachel Lashford, analyst at Canalys, said: "RIM has partnered with European operators to ensure the widest possible spread of devices. The company also is strong in certain markets, such as finance, and among larger enterprises generally."

RIM sells the devices to operators that can discount them to suit their needs.

In the general market, smartphone growth continues to outpace that of hand-helds, with annual rates of 70 and 26 per cent respectively.

But the US still seems cautious about adopting smartphones, and it was the only region where BlackBerry sales fell behind those of hand-held devices. Ben Orchard, managing director at reseller DVH, said working with companies on pilot projects has paid off.

"Companies took a handful of BlackBerrys to test six months to a year ago, and now they are coming back with large orders for their staff," he said.

"It's a very sticky product; it's hard to give back once you've used it. But having the software on a phone isn't too popular. There is still a feeling that the phone is just for voice."

The popularity of the BlackBerry also drove an overall increase in wireless hand-held sales, with sales increasing by 194 per cent.

But sales of unconnected hand-helds stalled. Global market growth reached just 10 per cent, and sales actually fell by five per cent in North America.

Nokia continues to dominate sales among the manufacturers, with a 33 per cent share of global mobile device sales.

iain_thomson@vnu.co.uk

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