Oops! Worldwide Handheld Shipments Down, Not Up

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Handheld Shipments Down Earlier this week, Gartner Dataquest released figures for worldwide and handheld shipments during the third quarter of this year. Today, it released a correction, as the previous report overstated how many units Hewlett-Packard shipped.

“HP’s worldwide shipment numbers have been lowered by 89,000 (approximately 23 percent) from previous estimates due to a discrepancy in its earlier tabulations,” said Todd Kort, principal analyst for Gartner Dataquest. “Based on this new information, market growth rates have declined, showing that the PDA industry is struggling more than previously reported.”

Total shipments worldwide decreased by 2.4% compared with the same quarter in 2002 and shipments in the U.S. decreased by 1.4%. Previously, Dataquest said shipments had increased both globally and in the U.S.

Palm Inc. is still the leader is worldwide shipments, with 31.7% of the total. This is an increase from the 28.8% it had in the third quarter of last year. Palm shipped 808.8 thousand units during the quarter, a 7.2% annual increase.

With the restatement in the number of units HP shipped, Sony moves up to second place. It had 13.5% of the market, making a huge jump up from 3.5% in the same quarter in 2001. Its number of handhelds shipped increased 280% to about 345 thousand units.

HP is now in third place with 11.5% of the total, down from 12.1%. It shipped 292.9 thousand handhelds last quarter, a 7.9% decrease from the same quarter of 2001.

Toshiba is another company that saw huge growth in the last year. It shipped 144.3 thousand units during the third quarter, a 1,705% increase. That was enough to put it in fourth place with 5.7% of the market.

In fifth place was Handspring, which now holds just 3.9% of the handheld market. Dataquest doesn’t include smartphones in this study so Handspring’s premier products, the Treo line, are not included.

The top five handheld makers command a larger share of the market than they did during the same quarter of 2001. Last year, they made of 58.2% of the handhelds sold; last quarter that increased to 66.2%.

Overall, there were 2.55 million handhelds shipped last quarter, a decrease of about 63,900 thousand from the same quarter last year. the Palm OS was on 50.2% of those handhelds, WinCE was on 28.3%, leaving 21.5% for other operating systems.

Palm also has the the lead in the U.S., where it has 41.7% of the market. In the same quarter last year, it had 39%. Palm’s shipments increased 5.4% compared with the third quarter of last year, to 505 thousand units.

Sony is in the second spot with 19.8% of the market, again making a large jump from last year’s 4.1%. It shipped 240 thousand units in the U.S. last quarter, a 380% increase.

HP is in third with 9.7%, compared with 12.2% in the same quarter last year. Its quarterly shipments saw an annual decrease of 22% to 117 thousand.

Handspring is still holding on to fourth place. It shipped 80 thousand units for a 6.6% share. This is a 71% decrease but, again, doesn’t include the Treo line of smartphones.

Toshiba has 5.8% of the U.S. market, while it had none during the third quarter of 2001. It shipped slightly over 70 thousand units last quarter.

There were 1.21 million handhelds shipped in the U.S. from July through September of this year, compared with 1.23 million shipped in the same period last year, a 1.4% decrease.

These figures count the number of handhelds shipped, not the number actually sold. They cover only handhelds, not smartphones.

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