AAPL Stock: 118.03 ( -0.85 )

Printed from

Sony Ericsson tumbles to 10.4m phones, still makes profit

updated 08:00 am EDT, Fri October 15, 2010

Sony Ericsson Q3 2010 makes profit on smartphones

Sony Ericsson today said it had swung to a profit even as its market share continued to drop. The company shipped just 10.4 million phones, a drop from 14.1 million a year earlier, but posted a profit of about $69 million where it had lost $231 million 12 months ago. It came as Sony Ericsson revealed that more than half of its phone sales were of smartphones like the Xperia X10.

The Swedish phone designer was making nearly twice as much of a gross margin at 30 percent compared to last year, when many of its devices were basic and media phones that were struggling against either very similar alternatives from Nokia or more advanced smartphones from Apple, RIM and Google's Android partners. A major coup came this summer when Sony Ericsson shipped the X10 to the US and also began selling Android devices in China. Previously, smartphone sales in these countries were usually limited to poor-selling Windows Mobile phones.

Sony Ericsson's unit decline could see Apple overtake it in absolute market share for the first time. iPhones have outsold Sony Ericsson's smartphone mix for some time but, due to continued sellouts of the iPhone 4, could sell more phones outright.

To bounce back, Sony Ericsson has said it ultimately hopes to be the top-selling Android platform and may have special, high-end phones to match. CEO Bert Nordberg has hinted at a "big surprise" coming in the near future that may be an Android-based PlayStation phone. Rumors have put it launching early next year with Android 3.0, a dedicated section of the Android Market and a slider design that would have PSP Go-style physical controls.

by MacNN Staff



  1. nowwhatareyoulookingat

    Joined: Dec 1969


    whoda thunkit?

    Copying what Apple does, kinda works.

  1. tonton

    Joined: Dec 1969


    I still don't understand...

    Who on Earth would buy a phone that's STILL shipping with Android 1.6.

Login Here

Not a member of the MacNN forums? Register now for free.


Network Headlines

Follow us on Facebook


Most Popular


Recent Reviews

Ultimate Ears Megaboom Bluetooth Speaker

Ultimate Ears (now owned by Logitech) has found great success in the marketplace with its "Boom" series of Bluetooth speakers, a mod ...

Kinivo URBN Premium Bluetooth Headphones

We love music, and we're willing to bet that you do, too. If you're like us, you probably spend a good portion of your time wearing ...

Jamstik+ MIDI Controller

For a long time the MIDI world has been dominated by keyboard-inspired controllers. Times are changing however, and we are slowly star ...


Most Commented