Mobile comms devices revenue to reach $235 billion in 2010

The total market for mobile communications devices will reach the quarter of a trillion mark by the end of 2010 according to iSuppli figures.

Buoyed by the cell phone market, the worldwide factory equipment revenue generated by the mobile communications industry is expected to hit $235.5 billion, up 7.9 percent from 2009, with the sales of 3G cell phones a big contributing factor.

It is expected that revenues next year will be even more impressive with global sales expected to reach $271.3bn for a market that includes cell phones, cordless phones, mobile infrastructure, broadband access devices and wireless LAN devices like routers. Furthermore it is forecast that by 2014 revenue will hit $359.3bn.

3G mobile handsets will account for the largest chunk of the revenue, totalling 34.6 percent, up 34.6 percent from $64.2bn in 2009. It is thought that 3G will retain its dominant position until past 2014 as wireless carries seek to maximize investment in 3.5G and 3.75G technologies through incremental network upgrades.

The 4G segment sees the highest growth, rising from $11 million in 2009 to $1.3bn this year despite no one really agreeing on what the heck it actually is.  This will presumably continue to rise with wireless carriers deploying next-gen 4G technologies such as LTE more substantially in 2011, though when this will happen in the UK is unclear.

Meanwhile 1G and 2G mobile handsets continue to be a major force worldwide mostly due to their prevalence in the emerging market in Latin America, Asia and Africa, though this continues to decline. Revenue for the 1G/2G category will fall to $55.6bn, down from 18.6bn in 2009.

Within the segment for handsets it is clear that smartphone are leading by some distance with projected growth of 40.6 this year, compared to 12 percent in 2009.

Overall shipments for handsets this year are forecast to reach 1.29bn units, up 11.7 percent from 1.15bn last year.

It should be noted that the projections do not take into account grey-market handsets which are apparently especially popular in China, which will contribute another $8.9bn of revenue this year.