Camera Phones Outselling Digital Cameras
Sep 26, 2003
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Mobile phones capable of snapping pictures outsold digital cameras for the first time in the first half of 2003, according to a report.

Research group Strategy Analytics said 25 million camera phones were sold worldwide in the first half of the year, compared with 20 million digital still cameras, driven by strong sales in Japan and Korea.

"This is a milestone event, but it is just the first step towards the industry goal of getting a camera phone in every pocket," said Neil Mawston, senior analyst at Strategy Analytics' Global Wireless Practice.

Strategy Analytics expects 65 million camera phones to be sold worldwide in 2003, or 13 percent of handset sales. The top two camera phones are made by Japanese groups NEC and Panasonic, both of which have 15-percent market share. Following close behind is Finland's Nokia with 14-percent share.

Even with the market success, security and privacy concerns among companies represent one potential problem for the camera phone market.

In addition, Strategy Analytics said camera phones represent no major threat to the digital still camera market because the difference in picture quality between the two technologies is too great. (Reuters)

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