Press Room
iPhone Production Driving Taiwanese Smart Handheld Device Shipment in the Second Half of 2007
December 19, 2007

According to MIC (Market Intelligence Center), an ICT industry research institute based in Taipei, Taiwanese smart handheld device shipment volume, including Smartphones and PDA (Personal Digital Assistant) phones, is expected to hit 6.2 million units in the fourth quarter of 2007, up 27% sequentially and 81.7% year-on-year. In the first quarter of 2008, shipment volume is also expected to hit approximately 6.2 million units, with sequential growth of 0.1% and year-on-year growth of 152.6%.

This growth is being driven by several factors, one being the introduction of several new mass-produced models by HTC, including the Kaiser (TyTN II), Nike (Touch Dual), Wings (S730), and Sedna (P6500). Also, new Palm and HP models outsourced to Taiwanese manufacturers will achieve volume production and begin shipments. Another factor is the increase in procurements by North American and European operators to satisfy traditional peak season demand in the fourth quarter.

In the third quarter of 2007, Taiwanese smart handheld device shipment volume advanced to 4.9 million units, up 83.5% year-on-year and 58.4% sequentially. Reflecting strong shipment volume growth, shipment value also surged 58% sequentially and 83.5% year-on-year in the third quarter, breaking the US$1 billion mark for the first time to US$1.46 billion. Major growth momentum for the Taiwanese smart handheld device industry in the third quarter came from increased contract production of the Apple iPhone. Shipments of iPhones contract manufactured by Taiwanese makers for Apple grew considerably in the third quarter after Apple teamed up with Western European telecom operators O2, Orange, and T-Mobile to sell iPhone in their respective regions. In addition, shipments of HTC Touch and Touch Dual series models to North America and Western Europe were brisk.

In Western Europe iPhones running Mac OS are currently only available in the United Kingdom, Germany, and France. Also, the iPhone has yet to be released in Asia, and therefore there is still significant room for shipment growth in the upcoming quarters.

Moreover, following the launch of the Android OS platform by Google in the third quarter, HTC is expected to roll out the first model featuring Google Android OS in the first half of 2008 at the earliest.

More information can be found in the following MIC reports:  The Taiwanese Smart Handheld Device Industry, 4Q 2007

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About MIC

Market Intelligence Center, based in Taipei, Taiwan, was founded in 1987. MIC is Taiwan's premier IT industry research and consulting firm providing intelligence, in-depth analysis, and strategic consulting services on global IT product and technology trends, focusing on markets and industries in Asia-Pacific. MIC is part of the Institute for Information Industry. https://mic.iii.org.tw/english