(keitai-l) Camera-phones will outsell digital still cameras by 2004

From: Gustaf Alströmer <gustaf.alstromer_at_hyperisland.se>
Date: 07/30/02
Message-Id: <5.1.0.14.2.20020730195342.02960688@mail.hyperisland.se>
Camera-phones will outsell digital still cameras by 2004

Strategy Analytics has released a new report saying that 16 million camera=
=20
phones will be sold worldwide in 2002, growing strongly to 147 million in=20
2007. By comparison, although 22 million digital still cameras will be sold=
=20
worldwide in 2002, their slower growth rate of 34% will result in only 95=20
million sales in 2007. Other key findings from the report note that 20% of=
=20
all cellular handsets sold in 2007 will contain an embedded camera. The=20
report also says that high prices and relatively large form factors will=20
inhibit initial diffusion of camera phones in Western Europe.

Neil Mawston, Senior Analyst with the Strategy Analytics Global Wireless=20
Practice, notes, "Camera phones will be an essential tool in driving=20
handset replacement rates in the next 5 years, especially in sluggish=20
markets such as Western Europe."

Chris Ambrosio, Director, Global Wireless Practice, comments, "Camera=20
phones outside Japan and Korea will remain high-cost, moderate volume=20
products through 2003. Shipment volume will improve in 2004 when camera=20
modules begin to commoditize, and when handset vendors begin to benefit=20
from economies of scale."

David Kerr, Vice President, Global Wireless Practice, adds, "Wireless=20
camera phones are one important catalyst for wireless data success beyond=20
the workhorse short messaging service (SMS), but cool camera phones will=20
not sell themselves. Operators must link availability of these devices to=20
effective multimedia messaging service (MMS) tariffs, as well as emotive=20
advertising and promotional messages. Wireless operators must not repeat=20
the early mistakes made with GPRS tariffs or they risk stalling the MMS=20
growth engine."

Posted on 30-Jul-02


Read this article on the web at: www.cellular-news.com/story/7272.shtml

Gustaf Alstr=F6mer
Hyper Island School of New Media Design
+ 46 739475825

gustaf.alstromer@hyperisland.se
http://www.hyperisland.se
Received on Tue Jul 30 21:59:46 2002