Motorola to topple Nokia next year?

Nokia's days as the world's number one mobile phone vendor could be numbered, according to analysts.

A new report from Strategy Analytics found that over the last four quarters, Motorola has averaged growth of around 52 per cent, while Nokia has managed just 32 per cent.

According to Neil Mawston, associate director of the wireless device strategies service at Strategy Analytics, Motorola has the potential to maintain its growth and displace Nokia as the largest manufacturer of mobile handsets.

He said in a statement: "If Motorola can continue this breakneck pace - a stretch but not totally inconceivable given the strength of their core designs - it would overtake Nokia in the first half of 2007. The stars would need to align for Motorola on additional new products, 3G, and component supply but this should be a strong warning for Nokia which should feel pressure to more rapidly improve both entry- and mid-tier product offerings in terms of both designs and numbers."

Strategy Analytics' research shows that during the second quarter of this year, Nokia sold more than 78 million devices, compared to Motorola's nearly 52 million.

The research also predicts future rude health for Sony Ericsson, driven by its Cyber-shot and Walkman handset brands.