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Windows Mobile as well as Taiwan smartphone makers sluggish in 2Q

The market share of Microsoft's Windows Mobile platform for smarphones was only 12% in the second quarter of this year, flat from the previous quarter and surpassed by Research In Motion (RIM) by a wide margin, implying that most Taiwan smartphone makers were not able to make progress in the market, according to data cited by Taiwan handset makers.

According to market research firm Gartner, through the second quarter of this year Microsoft has only gained about one half of a percentage point in market share compared to the same period one year earlier.

Shipments of smartphones using Microsoft's Windows Mobile platform only totlated 18 million units from July 2007 to June 2008, an amount lower that the 20 million expected previously, the makers added.

The sources indicated that almost all Taiwan smartphone makers are using the Windows Mobile platform. However, only High Tech Computer (HTC) delivered an outstanding performance in the market over the past year. Other companies have tended to focus on niche markets and haven't seen strong shipments.

For first-tier companies, smarphones from Motorola and Samsung Electronics suppport a number of platforms, while LG Electronics and Sony Ericsson are just beginning to develop their smartphone businesses. Hewlett-Packard (HP) and Palm, two branded vendors that support the Microsoft platofrm, are seeing weaker demand for their Windows Mobile models, so Microsoft cannot expect much from them, the sources noted.

Although the respective market shares of Symbian and Linux are also declining, RIM, Mac OS X and Palm OS showed market share growth in the past year. Wth the popularity of the iPhone 3G, the market share of Mac OS X should increase from the 2.8% Garntner said it had in the second quarter. Google Android devices will be introduced later this year as well and Symbian has transformed to an open source platform. Therefore, Windows Mobile is facing a huge challenge in the market, the sources commented.

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