Strong demand for mobile phones

Global demand for mobile phones remains strong, despite economic uncertainty in rich nations and rising food prices in poorer countries.

Consultancy firm Strategy Analytics says 282 million handsets were shipped worldwide in the first three months of 2008, up 14% from a year ago.

The growth was driven by rising demand in markets such as Africa and Asia.

Nokia maintained its dominant position with a 40.9% market share but shipments of LG and Samsung phones grew fastest.

Motorola, Sony Ericsson and Apple lost market share in the quarter.

"Motorola's 10% global market share is at the lowest level since our records began," Strategy Analytics said.

"It is in real danger of being overtaken by LG."

It said Motorola's handsets were "unexciting", while LG's "good looking" and "feature rich" handsets were popular amongst consumers.

Handset market share

• Nokia 40.9%
• Samsung 16.4%
• Motorola 9.7%
• LG Electronics 8.6%
• Sony Ericsson 7.9%
• Others 16.4%

Demand for mobile phones was most brisk in emerging markets, particularly in Africa and Asia.

It said that rocketing food prices in developing countries and the financial crisis affecting richer countries had so far had limited impact on demand for mobile handsets.

Strategy Analytics forecasts demand will continue to rise, but at a slightly slower rate.

It predicts 290 million handsets will be sold in the second quarter of this year, up 12% from the same period a year earlier.

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