Nokia’s E71 has helped the Finnish company stay in front with a 38.2% market share of the global mobile phone market.

Global mobile phone sales are set to drop next year as the economic slowdown hits consumer demand worldwide according to research company Gartner Inc.
 
Growth in the Asian-Pacific region, which includes powerhouses China and India, is expected to grind to a halt in the fourth quarter of this year as the global economic decline hits consumer spending.
 
Gartner said some 309 million mobile phones were sold in the third quarter of this year, a 6% increase from last year, but a sharp slowdown from the 16% annual growth seen in the same quarter last year.

Replacement sales hit 
Gartner said replacement sales were especially hit in the third quarter, while first time users continued to buy. The company said sales in Japan fell 28% to 9.4 million units as consumers showed little interest in upgrading their phones.

The North American market grew 4.5% from last year to 47 million units, with smartphones a key driver. Western European sales slumped to 43.5 million units from the 47.2 million handsets sold last year. A longer replacement cycle hurt the market and will continue to do so in the fourth quarter.

Nokia retains top spot 
Finnish mobile phone giant Nokia Corp. kept its top spot, selling 118 million units for a global market share of 38.2%, but felt the slowdown in replacement sales in the mature markets and was hit by weaker emerging market sales. Gartner said Nokia remains best positioned to deal with the current sluggish market due to its scale.

South Korean handset manufacturer Samsung Electronics maintained its second position, selling 52.9 million phones for a third-quarter market share of 17.1%.

Sony Ericsson, the mobile handset joint venture between Japanese Sony Corp and Swedish Telefon AB LM Ericsson, sold 24.9 million phones for a market share of 8.1%.

US mobile phone manufacturer Motorola Inc. saw a sharp drop in its market share, ending with a 8% market share after selling 24.6 million devices, far below the 13% market share it had in the same period last year.

LG Electronics had a 7.8% market share in the quarter, strengthening its position from 7% a year earlier. Apple’s iPhone advanced in the third quarter as the company ramped up sales of its 3G iPhone, placing seventh under BlackBerry maker Research In Motion.