JEDDAH, 30 June 2005 — The market for mobile phones continues to boom, with users mostly favoring camera phones.
This was substantiated by Jae Hoon Bae, executive vice president, strategy and management, Mobile Communications Company, LG Electronics yesterday. “Eighty percent of Saudi Arabia’s phone users prefer camera phones,” he told reporters.
Fifty percent of youth in the Kingdom and GCC are below the age of 30 years, and constantly in search of mobile phones that have new and advanced features of entertainment.
In the current scenario, both entertainment and other digital devices are becoming part of mobile handsets. Many gadgets like camcorder, camera, video, radio, MP3 player and related technologies are already available in mobile phones.
Also available in some parts of the world are handsets that are able to receive TV programs and satellite channels. “Such innovative features in mobile phones together with product quality will determine the market share for different brands,” he said.
Acknowledging that Nokia is dominating the regional market with a share of over 80 percent, he said all other brands including LG were in a “tug-of-war situation” to grab the second position.
“By the end of the year or early beginning of next year, 3G services will be launched. LG especially will then be in an advantageous position and pose a big challenge to all of its competitors,” Bae said. After all, no single brand can dominate a market for all time to come, he added.
The Saudi market for mobile phones is growing rapidly. This is mostly due to the healthy competition between the two service providers, thus proving to be advantageous for consumers.
“Also, there will be more advanced services like 3G and PTT, which require more high-tech mobile devices in which LG takes a global lead,” Bae said.