One in five smartphones sold in the United States during the second quarter was 4G LTE-enabled according to The NPD Group, and the market for LTE handsets is set to continue its rapid ascent according to a new report. Market research firm In-Stat on Wednesday suggested sales of handsets with embedded 4G LTE will surpass 154 million units in 2015. We’ve seen even more bullish projections — ABI Research said last week that annual LTE smartphone sales would reach 245 million devices in 2016 — but the consensus appears to be that LTE growth won’t be slowing any time soon. Read on for more.

“As the number of smartphones and other mobile devices that require data connections increases, so does the need for the increased capacity provided by LTE networks,” said In-Stat analyst Chris Kissel. “There will be over 290 million LTE subscriptions by 2015. Not only is the forecast for the number of LTE handsets moving rapidly upward, so, too, is the total number of cellular subscribers.”

In-Stat also notes in its new Cellular Subscriptions and Handsets Database, Q4’11 Forecast that total cellular subscriptions are expected to reach 6.5 billion in 2015.

Tablet vendors shipped 18.7 million units during the third quarter of this year, DigiTimes said on Tuesday. Third-quarter shipments were up 27.5% over the second quarter, but the increase was less than the 60.9% jump in shipments between the first and second quarters of this year. The slower growth was attributed to a weaker global economy, and the entire industry suffered. Apple is estimated to have shipped 13 million units in the September quarter, fewer than DigiTimes’s prediction that Apple would ship 14-15 million units. That figure, however, is still up up 36.8% over the second quarter. 5.7 million non-iPad units shipped during the third quarter, up 10.1% sequentially, but growth suffered due to an “inability to attract customers” away from the iPad, DigiTimes senior analyst James Wong said. Apple’s share of the tablet market grew from 64% in the second quarter to 70% in the third quarter according to DigiTimes’s figures. Apple will reveal its third-quarter earnings on Tuesday evening.

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Investment in mobile security will increase 44% annually through 2015 according to a recent research report from Canalys. Reportedly, just 4% of smartphones shipped last year were sold with security software pre-installed. Canalys suggests that, by 2015, more than 20% of all smartphones and tablets will run some form of security software and mobile security will be a $3 billion market. The research firm attributes the growth to an increase in pressure from enterprise customers, and it expects the usage of client security products such as antivirus software, VPN encryption and firewalls will grow an average of 54.6% annually to 2015. “Enterprises must adopt a holistic view of mobile security, as there is no single solution that provides complete protection,” research analyst Nushin Hernandez said. “A more robust approach, even compared to that used to protect typical notebooks and desktops, is needed.” Read on for the full press release from Canalys.

Mobile security investment to climb 44% each year through 2015

Canalys today announced its updated worldwide mobile security forecast, estimating an average investment growth of 44.2% per year, reaching $759.8 million by the end of 2011 and turning into a $3 billion market opportunity in 2015.[1]

According to Canalys figures, only 4% of smart phones and pads shipped in 2010 had some form of mobile security downloaded and installed, highlighting a low end-user awareness level and the relative infancy of the market. Mobile security uptake is anticipated to rise rapidly over the next four years, as enterprises conform more strictly to data protection and compliance practices, and consumers begin to understand the impending security threat to their personal data. Canalys forecasts that by 2015 over 20% of smart phones and pads will have mobile security software installed.

Over the next two years, Canalys expects device management to drive adoption of mobile security-related products, with businesses deploying solutions to track, monitor and authorize corporate data access, as consumers bring their devices into the workplace. These solutions will increasingly be tied to enterprise app stores, so that only approved apps can be downloaded and only devices with approved apps installed can access corporate resources.

After that period, the threat landscape is predicted to become extremely volatile, as more hackers target mobile devices as a means to financial gain. Enterprises and consumers alike will increasingly implement mobile security solutions to remove problems that have already infected their devices. This will turn mobile client security into the main driver, with device management a required layer in a more complete solution. Canalys expects mobile client security, which includes anti-virus, firewall, messaging security, web threat security, VPN functionality and encryption, to grow on average by 54.6% each year to 2015.

Until now, North America has led mobile security adoption, primarily due to enterprises adhering to data compliance regulations. Investment in the more mature Western European markets is poised to accelerate though, as enterprise mobility and consumerization trends pick up speed. Developing countries in Latin America, Asia, Africa and the Middle East will experience a sharp rise in mobile security investment from 2013 to 2015, as Android continues to gain headway as the preferred operating system in more price-sensitive markets. Canalys expects a strong parallel to emerge between Android operating system growth and the volume of mobile malware threats, as the potential for more people to download compromised applications rises.

‘We’re encouraging enterprises to build a framework for mobile security that encompasses people, policies, processes and technologies,’ said Canalys Research Analyst Nushin Hernandez. ‘This vision will also create the most opportunity for channel partners, if they can step in and act as the main point of strategic consulting across multivendor product offerings.’

Today, enterprises around the world are struggling to manage a growing mobile workforce, using multiple devices and operating systems and increased data consumption. Mobility multiplies the number of attack vectors open to cyber-criminals and renders corporate data more vulnerable through physical loss of devices. Users, meanwhile, have a tendency to treat smart phones and pads as low risk, without understanding the security implications of using these devices to access corporate data and networks.

‘Enterprises must adopt a holistic view of mobile security, as there is no single solution that provides complete protection,’ said Hernandez. ‘A more robust approach, even compared to that used to protect typical notebooks and desktops, is needed.’

Operators must also ensure that their customers’ data is protected along with their own information, assets, intellectual property and brand. Mobile operators globally are experiencing increasing mobile malware attacks and are spending more time and money on recovery. Canalys anticipates attack sophistication levels to rise with time. Providing service providers with a high-level of security from a network perspective, regardless of device or operating system type, will be a key differentiator from a security vendor perspective.

Canalys expects channel-led deals to work best with vendors that offer value-add services, such as management and installation support. “Vendors will have to equip channel partners with the necessary technical training and tools, especially specialization programs, to enable them to advise on the best mobility security practices, policies and solutions,” said Hernandez. “Channel partners in turn are advised to build up their portfolios and explore the possibility of acquiring or joining forces with resellers that sell device management solutions.”

A recent report from Net Applications suggests that Apple’s iOS and Mac OS X operating systems both achieved a record high global market shares during the month of September. iOS had a global market share of 54.65% for the month, up from the 53.04% grip it had on the market in August. iOS is trailed by Java ME with an 18.52% market share, Android (16.25%)  Symbian (6.12%) and BlackBerry (3.29%). Mac OS X reached a record high 6.45% share of the operating system market during September, up from 6.03% in August, which is dominated by Microsoft’s Windows (92.44%). Linux has a fraction of the market with a small 1.11% piece of the pie. Apple is expected to take the wraps off of its next iPhone during a press conference in Cupertino on October 4th, and we’ll be reporting all the news as it breaks.

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The Windows Marketplace for Mobile is now home to more than 30,000 applications according to app tracking website WindowsPhoneAppList. On July 2nd, the Windows Marketplace for Microsoft’s Windows Phones passed the 25,000 milestone. By comparison, Apple’s iTunes App Store is populated with more than 500,000 applications and Google confirmed in May that the Android Market has more than 200,000 apps. The Windows Marketplace’s paid app list is loaded with games — as it should be considering the great Xbox Live integrations — and the top-five paid apps are Angry Birds, Fruit Ninja, Sonic the Hedgehog 4: Episode 1, Need for Speed Unleashed and Cro-Mag Rally.

[Via MobileBurn]

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China surpassed the United States as the world’s largest PC market during the second quarter of 2011 according to a new report from IDC. PC shipments in China totaled 18.5 million units during the second quarter, more than the 17.7 million units shipped in the United States. The research firm is projecting that Chinese PC shipments will total 85.1 million units next year, compared to just 76.6 million units shipped in the U.S. The influx of new tablet devices and advanced smartphones, such as Apple’s iPhone and iPad, may be driving consumer interest away from notebooks and traditional desktop PCs in developed markets, The Wall Street Journal reported on Tuesday. “The center of gravity of the PC industry has shifted away from the developed world,” Wolf Group Asia CEO David Wolf said. China’s growth helped Lenovo become the third-largest PC maker, behind HP and Dell, with a 12.2% of global PC shipments. HP’s share of the Chinese market dropped from a 16.6% during the third quarter of 2009 to 8.5% during the second quarter of 2011. The decline has been partially blamed on buggy NVIDIA chips that shipped in HP devices last year. HP recently announced that it is considering a partial or full separation from its personal systems group.

Last week we saw the first images of a new Motorola handset largely believed to be the successor to the ATRIX 4G. Now rumors have surfaced that the phone’s model number is actually “MB865″ and that it packs a 4G LTE radio, which lends credence to the possibility of it launching as AT&T’s first 4G LTE smartphone. According to PhoneArena, which purportedly obtained a leaked internal system screenshot from AT&T, the MB865 will be field tested in a number of markets where AT&T has already confirmed it will deploy its new 4G network. The phone also said to sport an 8-megapixel camera capable of recording 1080p video and is equipped with an HD display and a dual-core processor. AT&T has confirmed that it will launch 4G LTE service in several markets this summer including Atlanta, Chicago, Dallas, Houston and San Antonio. The carrier expects its faster network to be available in a total of 15 markets by the end of this year and has already announced two devices. AT&T may hold off on launching the MB865, or what is now being called the ATRIX 2, until its LTE network is available in more areas, so it is unclear when we will see the phone become official. 

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Apple, Google, HTC, Samsung, Microsoft… it’s hard to name a technology company that’s not currently involved in a patent battle with another firm. Google’s general counsel Kent Walker thinks the legal battles could actually hurt consumers and the landscape of today’s ever changing smartphone market. “The tech industry has a significant problem,” Walker said. “Software patents are kind of gumming up the works of innovation.” Google chairman Eric Schmidt recently said that his company will stand behind HTC, one of its Android partners, in an attempt to ensure it doesn’t lose an ongoing patent battle with Apple. “We have seen an explosion of Android devices entering the market and, because of our successes, competitors are responding with lawsuits as they cannot respond through innovations,” Schmidt said. According to Bloomberg, Walker said that Google is looking to purchase patents that will allow it to compete better against its rivals, such as Apple. It is unclear what acquisitions Google will pursue in an effort to bolster its patent portfolio, but there is speculation the search giant will buy Kodak’s InterDigital arm. “Each side can blow the other up on some level –everybody can block the other’s products from coming to market,” Walker said. “You create this mutually assured destruction scenario, but it’s very expensive to get all those munitions. Buying patents so you can hit the other guy, it’s not good form. You hate to unilaterally disarm here, but we haven’t in our history.” Walker said that he’s confident Google has the muscle to “balance the scales” against the likes of Microsoft and Apple.

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Taiwan-based Market Intelligence & Consulting Institute expects roughly 360 million combined personal computers and media tablets to ship in 2011, Taiwan Economic News reports. MIC sees PC shipments growing 6.6% over 2010 to land at more than 320 million units this year, and it thinks shipments of media tablets like Apple’s iPad 2ill w exceed 48 million units in 2011, up 198% from 2010. MIC senior industry analyst Chris Wei notes that the improving global economy and replacement PC purchases in the enterprise market would be largely responsible for this year’s growth. Needham & Company analyst Charlie Wolf recently estimated that Apple would ship 30 million iPad tablets in 2011, but the company will likely far exceed that figure if tablet shipments are indeed to surpass 48 million units as MIC predicts.

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Sales of Apple’s iPad 2 tablet are set to explode in the third quarter according to Hong Kong-based research firm CLSA. Citing LCD sales data from DisplaySearch, the firm thinks Apple will unload 14.4 million iPad 2 tablets in the third quarter this year, well above the consensus of between 10 and 12 million units. But nothing is set in stone and Apple has widely missed iPad sales estimates in the past, though those misses were due largely to supply constraints. ”Keep in mind that AAPL has missed iPad consensus in 2 out of the last 3 quarters, even when supply chain forecasts were higher,” the firm’s note warns. If CLSA’s research is accurate, we can also expect Apple to launch a 4G LTE-compatible iPad model ahead of the holidays this year.

Google’s share of the U.S. smartphone market dipped for the first time since 2009 according to Needham & Co. analyst Charlie Wolf. Needham says Android’s share slid from 52.4% to 49.5% in the first quarter, its first sequential market share loss in any region since the second quarter of 2009. Wolf attributes the dip to the launch of Verizon Wireless’ iPhone 4; Apple’s U.S. market share ballooned more than 12 points to 29.5% in the first quarter. Wolf believes Android’s market share in the U.S. will rebound in the June and September quarters, though it will see a “material decline” in the fourth quarter of 2011 following the launch of Apple’s fifth-generation iPhone. “This is just the beginning of Android’s share loss in the U.S.,” Wolf wrote in a note to investors. “The migration of subscribers to the iPhone on the Verizon network should accelerate this fall when Apple coordinates the launch of iPhone 5 on the GSM and CDMA networks. The iPhone could also launch on the Sprint and T-Mobile networks.” Hit the break for a graphical representation of U.S. smartphone market share from IDC.

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The Public Utilities Commission in California will investigate AT&T’s planned acquisition of T-Mobile, The Wall Street Journal reported on Friday. The Golden state is one of three states that Sprint has asked to investigate the deal — the other two are West Virginia and Louisiana. “We believe a thorough investigation will reveal the negative implications for pricing, choice, and innovation critical to California’s economy,” Sprint’s public affairs manager, John Taylor, said. “Sprint is pleased that the commission will open up a proceeding to investigate the proposed takeover of T-Mobile by AT&T.” AT&T originally filed its informal notice with California’s Public Utilities Commission on May 3rd, and Sprint protested the filing on May 19th when it asked for a review of the merger. The regulators will consider three options, one of which is a choice to notify AT&T that its purchase is not “pre-approved” after the standard 30-day time period after an application is submitted. Sprint has opposed the acquisition from day one, and its CEO Dan Hesse said the deal would “stifle innovation” in the U.S. wireless market.

[Via The Wall Street Journal, AllThingsD]

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“We no longer anticipate Research in Motion recovering to participate in the mainstream of smartphone industry growth.” Those are the words of Matthew Robison, an analyst with Wunderlich Securities, which recently downgraded RIM’s stock. Robison argues that RIM is going to lose the consumer interest that it has built over the last few years. “Our long-term forecast anticipates a role supplying business-oriented devices, both mid-range and high end, as well as cloud-based services via the BlackBerry Network.,” Robison said. “We expect the consumer mix gained over the past two years to churn off, and that earnings will decline after 2013 and eventually grow again on demand that is largely associated with business users.” Robison said the PlayBook is selling well relative to other tablets, “other than the iPad,” but that “there’s little indication that the PlayBook has registered with consumers outside the loyal BlackBerry installed base.” We’ve leaked and had hands-on time with most of RIM’s 2011 lineup, and while there’s a definite spec boost across the board, the phones lack the appealing features of more robust iOS and Android devices. Worse yet, the company only revealed one new device during its annual BlackBerry World 2011 conference, and even that offered very little in the way of innovation that might attract the consumer market.

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Nokia could launch its first Windows Phone some time this year, and when it does, the firm plans to set a quick pace to get more phones into the market. Speaking in an interview with PCMag, Nokia’s executive vice president of smartphones, Jo Harlow, discussed Nokia’s roll-out strategy. “We should be launching new devices in a rhythm that might be every couple of months, every three months, something like that,” Harlow said. Unlike HTC and Samsung, which see Windows Phone as a “secondary platform,” Harlow argues, Nokia will use the operating system as a primary platform. “We’re going to keep coming with new devices in order to have something to talk about,” she explained. Earlier reports have suggested that Nokia will launch as many as 12 new Windows Phone handsets next year, including a few with dual-core processors.

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According to research firm Gartner, although Microsoft shipped 2 million Windows Phone units during Q4 of 2010, it sold 1.6 million units during Q1 of 2011.”Windows Phone saw only modest sales that reached 1.6 million units in the first quarter of 2011,” wrote Gartner. “Devices launched at the end of 2010 failed to grow in consumer preference and CSPs continued to focus on Android.” Gartner is, however, predicting big things for Microsoft’s smartphone operating system. By 2015, the analytics company predicts that Windows Phone will see shipments in excess of 215 million units — thanks in large part to its partnership with Nokia. This would put Microsoft in second place in global market share — behind the open-source smartphone-overlord Android and ahead of the not-so-open-source iOS.

[Via WinRumors]

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