With AT&T Lockdown on iPhone, Android Continues to Grow

Submitted by lalit on October 5, 2010 - 7:10pm.

One news that is making rounds around the tech blogosphere today is surge of Android to No. 1 in US smartphone sales. According to the data released by Nielsen, Android has continued its rise in past six months and is now top smartphone platform for new device purchases with 32% market share. RIM and Apple are tied at about 25% share of new smartphone purchases for number two spot.

When it comes to overall market share of all the devices in use, RIM is still number one with 31% share followed by Apple with 28% and then Android with 19%. RIM’s market share has gone down from 37% to 31%, whereas both Apple and Android has seen an increase – 25% to 28% for Apple and 14% to 19% for Android.

However, one thing is now crystal clear AT&T exclusivity contract is now strangling iPhone growth in US. About 70% of wireless subscribers can’t get iPhone in US as AT&T has about 30% market share. This basically means that only 3 out of every 10 smartphone buyers in US can get an iPhone. With such low odds it is surprising Apple has still managed to capture 25% of smartphone market share in US.

As we wrote in our previous article tilted “European smartphone market share stats show Apple needs multi-carrier strategy to keep rising in US”, Apple needs to bring iPhone on other carriers in US as soon as possible. Otherwise, “If Android continues to rise in US because of carrier limitation on the iPhone, its mindshare will keep rising around the world, which will be bad news for Apple.”