15.9m Symbian smartphones shipped in Q1 2007

16. May 2007 at 19:19

LONDON, United Kingdom – 16 May 2007

Symbian announces a big growth of his shipped Symbian smartphones.  They shipped in Q1 2007 16 million Symbian smartphones.

Symbian Limited Q1 2007 results

Q1 2007

Q4 2006

Q1 2006

Q1 YoY% change

Symbian OS Units

15.9m

14.6m

11.7m

+35.9%

Average Royalty / Unit *

US$4.5

US$5.1

US$5.4

 

Royalty GP% *

93%

93%

88%

 

Revenue (£’m)

 

 

 

 

Royalties *

37.9

40.4

35.5

 

Consulting Services

2.5

3.5

2.5

 

Partnering & Other

0.9

1.0

0.8

 

Total

41.3

44.9

38.8

 

End Q1 2007

End Q4 2006

End Q1 2006

Q1 YoY% change

Number of Symbian smartphone models in the market

114

108

66

+73%

Number of licensees with Symbian smartphones in the market

8

9

10

 

Number of Symbian smartphone models in development

63

56

56

 

Number of licensees with Symbian smartphones in development

8

8

9

 

* Royalties comprise Symbian OS & UIQ (up to completion of sale of UIQ on 2 February 2007)

Source:Symbian 

Highlights – Q1 2007

  • 15.9m Symbian smartphones shipped by licensees in Q1 2007, a 35.9% increase on Q1 2006 (Q1 2006 – 11.7m)
  • 126 million cumulative Symbian smartphone unit shipments, as of 31 March 2007
  • 20 million cumulative Symbian smartphone unit shipments milestone reached in Japan since first 3G Symbian model shipped in 2003. All models shipped since have been 3G.
  • 14 new Symbian smartphone models commenced shipment in Q1 2007: 12 models were 3G enabled and eight models were for the Japanese market, launched in diverse segments including business, mobile TV, music, fashion, sport
  • New Symbian smartphone models which were announced in Q1 2007 but were not shipping as of 31 March 2007 include the MOTORIZR Z8, the Nokia 5700 XpressMusic, the Nokia 6110 Navigator, and Eseries devices for the enterprise: the Nokia E90 and the Nokia E61i
  • Symbian announced the latest evolution of its product, Symbian OS v9.5, which brings high performance features designed for richer consumer and enterprise experiences as well as significant savings to phone build costs and time-to-market
  • Symbian increased investment to further accelerate product development and regional growth
  • At 3GSM in February 2007, Telefónica Móviles España, T-Mobile and Telecom Italia announced their choice of a platform based on Symbian OS 1 . They join Vodafone, Orange and NTT DoCoMo in sharing the benefits of reduced time-to-market for new service delivery, scalability, and cost reduction.
  • 7,478 third party Symbian applications are commercially available, as of 31 March 2007, up 58% (Q1 2006 – 4,735 applications) (Source: Symbian research, see Notes to Editors)
  • The sale to Sony Ericsson of UIQ Technology AB and intellectual property rights in the UIQ user interface were completed

Chief Executive Commentary

Nigel Clifford, Chief Executive Officer, Symbian Ltd today said:

“Symbian continued to lead the smartphone market in Q1 2007, with 16 million Symbian smartphones shipping worldwide, bringing the total shipment of Symbian smartphones since the Company’s formation to over 126 million.

Global Success

Symbian continued its global success with a sustained market share of 72% of the smartphone market during Q1 2  and new, innovative Symbian smartphones launched in the US, Europe and Asia. In Q1 2007 25 per cent of Symbian OS unit shipments were in Japan and 13 per cent in China 3 . In January 2007, Symbian held the official opening of an expanded Beijing office to support Symbian OS licensees and the growing Chinese developer base.

As a global leader, Symbian is committed to providing a product fit for diverse regional market requirements, offering extensive customization options and supporting global technology standards as well as languages from 99% of the world’s countries.

20 million Symbian smartphone shipments in Japan to date

I am delighted that Symbian has passed a significant milestone of 20 million unit shipments cumulatively in Japan. The first 3G phone based on Symbian OS shipped in Japan in 2003 and since then 54 Symbian OS-based models have shipped in many market segments, manufactured by Fujitsu, Mitsubishi, Motorola, Nokia, Sharp, and Sony Ericsson.

It took three years to reach the first 10 million Symbian smartphones and less than one year to reach the next 10 million. This growth was driven by remarkable innovation from the advanced 3G mobile market in Japan, as well as the flexible and sophisticated capabilities of Symbian OS that reduce time-to-market and meet the high standards of handset vendors and network operators.

Symbian OS v9.5 announced for high performance and mass market

At CTIA 2007, we launched the latest evolution of our product, Symbian OS v9.5. Fully backward compatible with all versions of the v9 family, Symbian OS v9.5 offers over 70 new features as well as performance improvements with reductions in requirements on memory, processor and battery, enabling future Symbian smartphones to run on feature-phone hardware.

Symbian OS v9.5 has many new enterprise features including improved synchronization and support for a large number of contacts using a SQL database. In addition, seamless multi-tasking, uninterrupted VoIP, and automatic switching between 3G and Wi-Fi, offer superior productivity for business professionals.

Powering best-in-class multimedia

Multimedia capability is a priority for Symbian as it is essential to entice the large and dynamic youth market. New Symbian smartphones with extraordinary multimedia capabilities announced or commenced shipping during Q1 2007, include:

  • Nokia N77 based on S60, a stylish and affordable device with integrated DVB-H for an optimized mobile TV experience
  • MOTORIZR Z8 based on UIQ, the world’s first ‘kick-slider’ design with industry-leading high definition video playback and HSDPA
  • Nokia N95 based on S60, features a pioneering 2-way slide concept, integrated GPS, a 5 megapixel camera and HSDPA
  • FOMATM F903iX HIGH-SPEED based on MOAP, a QVGA swinging TFT LCD 2.4-inch display with HSDPA and H.264 video playback capability

Symbian OS v9.5 will power even richer multimedia experiences with integrated support for multi-standard digital TV, media protocols, and 35 new camera features. Symbian OS v9.5 also enables seamless connectivity and best-in-class power management fundamental to the mass market multimedia experience.

Delivering faster time-to-market

In Q1 07 Symbian underlined its commitment to reducing time-to-market for the ecosystem through:

  • Operator platform commitments: In Q1 2007, Telefónica Móviles España, T-Mobile and Telecom Italia announced their choice of a platform based on Symbian OS. They join Vodafone, Orange and NTT DoCoMo in sharing the benefits of reduced time-to-market for new service delivery, scalability, and cost reduction
  • Compatibility: Symbian is delivering on its promise of compatibility across v9.x releases, resulting in strong growth of S60 and UIQ applications based on Symbian OS v9
  • More choice of development environments: Symbian launched P.I.P.S (P.I.P.S. is POSIX on Symbian OS) in January 2007 as part of our ongoing investment to bring more developers to mobile with a choice of familiar environments and fast porting of existing assets.

Symbian Outlook

We are seeing two significant areas of new smartphone growth in addition to the established multimedia and enterprise markets: emerging economies and mass market segments. Both have stringent requirements for security, high performance, extended differentiation, long battery life, and low cost. Through deep collaboration with Symbian OS licensees, support of a thriving ecosystem and development of market-leading multimedia, graphics and connectivity solutions, Symbian is driving the market, enabling even richer experiences at lower cost.

We look forward to continued growth in adoption of Symbian OS through 2007. We will see a continuation of innovative devices across a range of segments from the world’s leading handset vendors, who have all launched or are developing phones on Symbian OS v9.”

Symbian fast facts Q1 2007
CEO webcast

– END-

Notes to Editors

  1. Royalty Revenue – Symbian receives a royalty on each phone based on Symbian OS shipped by licensees. From Symbian OS v7.0 onwards the royalty has been set at $7.25 per unit for the first 2 million units shipped by a licensee and $5 per unit thereafter. From v9.0 onwards after 1 July 2006, licensees are being offered an additional pricing model based on either (a) a fraction of the trade price of devices shipping; or (b) an annual volume ratchet pricing structure.

    On 2 February 2007 Symbian completed the sale of UIQ Technology AB and the intellectual property rights in the UIQ user interface to Sony Ericsson AB. Prior to this sale, Symbian also received additional royalty for devices shipping with the UIQ software and incurred costs in developing such software.

    Royalty Gross Profit – Symbian in-sources certain technologies when either:

    i) there is already an appropriate industry standard developed by another party or

    ii) technology can be more efficiently provided by an outside supplier (e.g. WAP / web browsers; personal computer connectivity),and, in both cases, where Symbian considers that such technologies should form part of Symbian OS to satisfy market and licensees’ requirements.

    Consulting Revenue – Symbian undertakes consultancy activities to assist its licensees implement Symbian OS in new handsets. Symbian receives revenue to cover costs (including full overhead recovery) but, such activities are primarily in support of licensees adoption of Symbian OS. The level of consulting revenue will fluctuate depending upon: (a) the volume of new engagements with licensees; (b) the ability of licensees to develop new Symbian OS phones without the assistance of Symbian; and (c) the ability of Symbian Competence Centers to provide support for licensee product development.

    Phone models – Symbian defines phone models on the basis that the following conditions are satisfied:

    – the device is manufactured in commercial quantities; and
    – the device is available in retail channels; and
    – the device has a unique model identifier and/or is a publicly announced variant or derivative: US with 850 MHz radio, China, Japan or CDMA. (Up to two variants or derivatives from the following segments: US, China, Japan, CDMA; public announcement on the part of the licensee must be fully auditable through licensee’s marketing collateral or web content)

    Partnering & Other Revenue – Symbian derives a further revenue stream from training activities, partner activities (including the Symbian Platinum Partner Program) and trade shows. These activities are designed to promote Symbian OS and are therefore priced to enable cost recovery only.

    Models in development – Models in development are defined by Symbian as phones prior to launch where licensees a) have committed a minimum development team; and b) have a visible plan to launch; and c) have a minimum expected lifetime shipment for the phone. The determination of phones in development is at the discretion of Symbian.

    With more and more Symbian models being launched by licensees, such licensees are becoming experienced in developing new Symbian models with only limited or no direct Symbian assistance. As a result, Symbian is not always aware of new models prior to their market launch. Symbian is keen to ensure that licensees are able to quickly and easily launch new models and encourages licensees to build up appropriate internal capabilities and experience in developing with Symbian OS. Therefore, new models in development is becoming a less accurate forward looking indicator of new Symbian licensee models coming to market.

  2. Number of Symbian OS Applications

    Symbian tracks the number of commercially available Symbian OS applications. This is done through surveying the applications offered for sale by a wide range of on-line, commercial distributors of Symbian OS applications.

    To be included in the count of Symbian OS applications, an application must be offered for sale by a company, not by an individual alone.

    Applications which are offered for sale but which do not meet these criteria are regarded as “Shareware”. Symbian maintains separate counts for “Shareware”, “Freeware” and “Open Source” applications.

    Only applications written for, or specifically shown to work on, Symbian OS phones are included in the Symbian OS application count. The count includes applications written using any of the wide variety of programming languages supported by Symbian OS, including C++, Java, AppForge Crossfire and OPL.

    The number of Symbian OS applications does NOT include Java MIDlets that have not been developed specifically for, nor have been explicitly validated as running on, Symbian OS phones. It is therefore likely that there are many additional Java MIDlets that will run on Symbian OS phones.

  3. About Symbian Limited

    Symbian is a software licensing company that develops and licenses Symbian OS, the market-leading open operating system for advanced, data-enabled mobile phones known as smartphones.

    Symbian licenses Symbian OS to the world’s leading handset manufacturers and has built close co-operative business relationships with leading companies across the mobile industry. During Q1 2007, 15.9 million Symbian smartphones were sold worldwide to over 250 major network operators, bringing the total number of Symbian smartphones shipped up to 31 March 2007 to 126 million.

    Symbian has its headquarters in London, United Kingdom, with offices in the United States, England, and Asia (India, P.R. China, Korea, and Japan). For more information, please visit Symbian.

[1] In February 2007, Telefónica announced the selection of Symbian OS; T-Mobile and Telecom Italia announced the selection of S60 software on Symbian OS.
[2] Source: Canalys, “Worldwide smart mobile device market Q1 2007”, includes closed Linux phones in Asia
[3] Source: Canalys, “Worldwide smart mobile device market Q1 2007”