Windows Phones outselling iPhones... in emerging markets

On Wednesday a blog post from Frank Shaw, head of PR at Microsoft, revealed that Windows Phone is outshipping the iPhone in seven countries. It's not surprising that he didn't reveal the list of countries at the time, because now that the list has been revealed it's not as impressive as you might have first thought - none of the seven countries are what's known as "advanced economies" by the IMF (PDF).

The list is as follows: Argentina, India, Poland, Russia, South Africa, Ukraine and "rest of central and eastern Europe" (apparently this is one country). The stats come straight from IDC, which were the research firm behind the stats in Shaw's initial blog post, and also revealed that three of the markets (Ukraine, South Africa, and "rest of Europe") had fewer than 100,000 Windows Phone shipments each for Q4 2012.

The fact that Windows Phone has outshipped the iPhone in these markets is not surprising, as Argentina, Russia, Poland, Ukraine and "rest of central and eastern Europe" classify as emerging markets, while India and South Africa are newly industrialized. Apple only produces high-end, expensive devices while there are a range of low-end Windows Phones (such as the Lumia 620) available; people in these countries are less likely to be able to afford an iPhone, and so have a greater chance of purchasing a Windows Phone.

While it's certainly good news that Windows Phone is breaking into emerging markets, Windows Phone has had issues breaking in to the tough, and arguably more important North American market as of late. Tackling the developed markets is no doubt a priority for Microsoft at the moment, and with Nokia continuing to release new devices, progress will come.

Source: NYT via: WPMU

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i see the difference between these low cost windowsphone and the cheap androids. the WP handsets actually look good. the cheap android phones you can buy at the gas station are awful.

how dare you criticize android phone, the techspot cult of droid will not stand for this! they will attack you and banish you at any little android comment that doesn't praise their god.

"Emerging market" = "Has little cash spare". So wait, this article says that poorer people are buying the cheaper phones? You don't say!

read all the comments, there are replies from people that reside in so called emerging markets, all it means is that the market is not mature. I guess typically this would be the ones where there is a lower possible consumer base at initial product launch, potentially due to poverty/wealth. But not always.

Personally, while the WP8 handsets are not setting the world alight, i do concede that they offer a far greater value to consumers than iPhones for example. This is really the driver i imagine. Value.

Reason is simple. iPhone, unlike iPad, does not offer anything special over Android and WP, but cost much higher. It's premium class. Cost over $1000. In US it just cheaper than cheapest Chinese phone here.

I am one of those South Africans that have made the change to windows phone, and I am surprised that everyone is assuming that these stats are cost motivated… Both my previous phones were iPhones and I make more than the average consumer in North America. I made the change since I like the OS and the form factor of my HTC 8x. I also like how easier it is for me to develop for my phone and how Microsoft has managed to unify the windows kernel across platforms which is intriguing for my business going forward. On the ground I can also tell you that the windows phones I see in the wild tend to be higher end models, especially the Nokia Lumia range. The fact of the matter is that emerging markets are less brand-conscious and more value-driven than our more “sophisticated” counterparts. We are too busy dealing with half our population living under the breadline than to be concerned with the self-indulgent rubbish of brand loyalism that more fortunate populations are privileged to enjoy. iPhone has for some time not delivered any real innovation and has become dated. Android has become too fragmented and tries to be too many things for too many people. Windows Phone is a solid OS and a worthy competitor that gets too much hate unnecessarily from people too focused on ideology. It is respectable third alternative.

And that's why Apple will be releasing a lower cost iPhone soon. In other news, Android still dominates.

all I see in here is some guys feeling bad about their investment (*cough* android,iphone) WP train has departed folks. This is always how it begins. Just a bunch of denial,until one day they don't know what hit them. Too bad for you guys, us WP guys are using the best tech today. Im sorry your UI still lags when you have 8 cores in your phone maybe one day they'll make a 1000 core CPU.

vcfan said,
all I see in here is some guys feeling bad about their investment (*cough* android,iphone) WP train has departed folks. This is always how it begins. Just a bunch of denial,until one day they don't know what hit them. Too bad for you guys, us WP guys are using the best tech today. Im sorry your UI still lags when you have 8 cores in your phone maybe one day they'll make a 1000 core CPU.

I thought the windoze phone train left 2.5 years ago? or wait, we were supposed to wait until mango..or tang...oh no, wait until Nokia joins the party...ok guys now for real this time wait until WP8 arrives! oops wait until we get some apps! Still no apps but wait until Windows 8 comes out then we will have unification! No one is buying Windows 8? Ok Windows Phone will take off when Windows 9 comes out just wait!

Android, iPhone and WP are all perfectly good investments. None are going anywhere, and all three are pretty good at what they do.

My old single core Android doesn`t lag, as Kirkburn stated all 3 are pretty good, why not go to the nearest rooftop and shout "i love and use windows phone".
It`s probably about as effective

The real achievement for Nokia WPs low end phones would be to outsell their comparative android phones. People need a break from these crappy droids which start to lag after sometime. Its damn hard to explain an elder or a novice smartphone user about how to hold the home key for 5 secs so that the of apps running in the background shown up and how u have to swipe each one of them away to relieve the system memory so that it doesn't lag again.

So, Microsoft is beginning to succeed (barely) in the markets it really targeted with Windows Phone. That excludes the US and Europe, markets that most techies are best acquainted with.

Ian Easson said,
So, Microsoft is beginning to succeed (barely) in the markets it really targeted with Windows Phone. That excludes the US and Europe, markets that most techies are best acquainted with.

Microsoft is growing well in Europe. I think theyre over %6 in the uk, %14 Italy, %6 france, and a lot more countries over %10.

Microsoft are doing very well in Europe, get your facts correct. The really only place where they are pretty stagnant is North America, but most Americans think the USA is the whole world.

Just FYI for the haters...Movistar actually carries the GS3 Mini and the Galaxy Note 2. The GN2 costs more than the iPhone and it is avail for sale.

I Am sure Samsung doesn't have the stringent requirements Apple has for its phones. If Apple is unwilling to focus on such markets someone has too. There is no law that says poor people shouldn't have phones. In these markets Nokia and Blackberry rule which is also typical of asian markets. Their income level prevent expensive purchases.

Course ignorant somewhat rich people in the USA dont understand and take for granted most can afford such options. They get to a point they think everyone can. When are we going to learn we are not the world.

I would very much like to try (and possibly switch) to Windows ecosystem. If they had the apps that I use everyday I would have already but they don't. I can tell, after 5 mins playing with it, that I would like it a lot more then my experience with the Frankenstein system of Android.

voxer, fongo, google maps, etc... found something odd, dropbox is a a paid app? shouldn't expect it for free I know but if its free on one is should be free on the other logically...

I don't think you will ever find an official google app on windows phone ever. Gmap pro is a 3rd party app and is pretty good. Some apps you have to pay for, whatsapp on ios you have to pay for where wp you don't, depends I guess. voxer and fango I don't know I don't use them.

Geez so much hate for Microsoft. Expensive phones dont do well in countries where income levels are low. Surprise? No.

But lets face a fact here in the USA. iPhone wasnt the top selling phone for all of 2012 in the USA either and it wasnt beat by a cheap phone. It was beat by one of the same price or more depending on carrier.

Samsung as of Q3 last year sold 90m phones and 45m were made up of most GS3, GN2 and GS2.

But the criticism I see from haters who love other platforms like iOS is just sickening. Yes cheap products outsell expensive ones...no big deal. Old news. But as someone posted, they make be cheaper but it is still running the latest version of the OS. And just remember Apple is still selling the 3GS and the 4 and 4S whicj are cheaper vs the 5 and still Windows Phone is outselling it.

Grow up. YouR fan favorite cant win all the time. ANDROID is the biggest sellers here for the same reasons. Carriers cant afford to subsidize iPhone bec they dont have the sales numbers to cover the cost. Not ever carrier has the money US carriers have to invest in iPhone...get over it.

TechieXP said,
Not ever carrier has the money US carriers have to invest in iPhone...get over it.

Even that is not sustainable for a long period of time. Most US carriers are reporting that their bottomlines can be higher if not for the iphone subsidies.

Kunal Nanda said,

Even that is not sustainable for a long period of time. Most US carriers are reporting that their bottomlines can be higher if not for the iphone subsidies.

the problem isnt the subsidizing. The problem is if a carrier orders 10M iphones from Apple they must pay for all of them up front. Not pay as they sell them like other phones. If I was a carrier and I ask Samsung for 10M GS3' they dont make me pay for them...I pay for a certain percentage up front and the rest over time.

Just remember too that the iPhone and the g3 are heavily subsidised in the USA, that is the main reason why they sell so good, if everyone had to pay full price for these phones in the USA how many do you think they would sell?

India, Argentina and Russia are by no means small countries. Have anyone here bashing MS tried to start a phone OS company to compete with iPhone, and won?

you are correct, these are actually quite large markets to be selling and doing well in, the USA is not the world and like it or not there will be more larger markets coming than the USA, Americans you are not the leaders in the world you once were, so get used to it because you never will hold that position again. Just because iPhone or android is doing well in the USA means less and less as time goes by. I bet there are a lot of Americans that would love to see some of these budget nokia wp8 handsets.

No surprise here. Lumia 620 is my current developing device for WP8 and it is easily the best budget phone I've ever used. Kudos Nokia, it's nice to have you in the ecosystem.

francescob said,
Try actually using it as a phone, the battery lasts nothing, barely half a day only the 700, 800 and 900 have an adequate battery.

Strange, mine usually lasts about 2 days with occasion phone calls and texting. Well It's true that I didn't really use it as a primary phone, but it came as a nice backup.

I've heard that bad signal reception or heavy web browsing could kill the battery, or it could be just the "all WP8 sucks more juice than WP7" thing.

I'm pretty sure that in Monaco, Luxembourg, and a couple other markets, Porsche outsells Hyundai by a wide margin.

Melfster said,
Is this kind of like how android is outselling the iphone. Mainly because they are cheaper then the iphone.
false. The top selling phone for 2012 was the Galaxy S 3. Not a cheap phone.

TechieXP said,
false. The top selling phone for 2012 was the Galaxy S 3. Not a cheap phone.

What percentage of the Android market is that though? 5%? Less?

You do realize Aluminum is the cheapest metal on earth, right? It's even cheaper than reinforced polymers (Plastic)...

VHMP01 said,
You do realize Aluminum is the cheapest metal on earth, right? It's even cheaper than reinforced polymers (Plastic)...

You realize that Aluminium needs to be extracted and engineered to construct a unibody frame?

Ummm, they're still outselling the most popular smartphone in the world in those countries. The thing is that sales are low in those countries because smart phones in generall sell very little there. though it is a growing or rather emerging market. which means when MS gains an early foothold on the early adopters, they will most likely keep their spot as as number 2 or even go as high as number 1.

j2006 said,

its outselling iphone because iphone is expensive in those countries and many cant afford it. this is not a feat this is laughable.

astalvfnw said,

its outselling iphone because iphone is expensive in those countries and many cant afford it. this is not a feat this is laughable.

A sale is a sale. The more users the more attractive the OS is for developers, regardless if the device was cheap or not. They can all run the same apps.

mrp04 said,

A sale is a sale. The more users the more attractive the OS is for developers, regardless if the device was cheap or not. They can all run the same apps.


a more appropriate title would be Android outselling WP and iphone by a huge margin in 7 countries.

ok, the only reason why android is the market leader is because of these said cheap handsets, Microsoft's os and nokia's budget phones start selling good in the low to mid range and all we get is negative comments of big deal or this is embarrassing, listen up folks selling these types of phones in very large emerging markets is what get you to be a market leader, not the top of the line phones, hence we will see a cheap iphone later this year. Get of your high chairs isheep and android fans, this is how the war is won, PERIOD.

mrp04 said,

A sale is a sale. The more users the more attractive the OS is for developers, regardless if the device was cheap or not. They can all run the same apps.


Wrong. Lower end devices can't run apps made for higher end handsets, and buyers of cheap handsets are usually low spending consumers. For developers this means a significantly smaller, more fragmented market than what the install base numbers tell.

astalvfnw said,

its outselling iphone because iphone is expensive in those countries and many cant afford it. this is not a feat this is laughable.

generraly iPhones certainly aren't cheap in Russia, but you can still find places with acceptabe lower prices (internet-shops) as we don't have to buy phones with Operator subscription, and usually buy them unlocked from various competing stores. despite iPhone not being cheap, in big cities like Moscow or Saint-Petersburg you can notice that many people actually have them. Just as many people also have Galaxy S3 and some people have high-end WP8 devices or former high-end WP7 devices. I do see WP7 or WP8 more often lately, but If they're saying that it started to outsell iPhones in Russia - that's a big deal.

a0me said,

Wrong. Lower end devices can't run apps made for higher end handsets, and buyers of cheap handsets are usually low spending consumers. For developers this means a significantly smaller, more fragmented market than what the install base numbers tell.

That's true with Android because there are no hardware requirements. Windows Phone 8 in particular mandates a dual core 1GHz processor, 512MB of RAM, accelerometer, etc etc. Developing for both Windows Phone, in terms of ease of deployment to a variety of devices, is on par with that of iOS. With Android however, there is so much bloody hardware fragmentation that developers often ignore the hardware features of higher speced phones because the bulk of market share is at the lower end.

As I said before because of the nature of Microsoft WP8 licensing there are a set of hardware features that developers will be able to target no matter what the screen resolution or processor or whatever.

mrp04 said,

A sale is a sale. The more users the more attractive the OS is for developers, regardless if the device was cheap or not. They can all run the same apps.


its likely there are more issues with piracy in these markets. i dont know how safe wp7 or 8 is.

ingramator said,

That's true with Android because there are no hardware requirements. Windows Phone 8 in particular mandates a dual core 1GHz processor, 512MB of RAM, accelerometer, etc etc. Developing for both Windows Phone, in terms of ease of deployment to a variety of devices, is on par with that of iOS. With Android however, there is so much bloody hardware fragmentation that developers often ignore the hardware features of higher speced phones because the bulk of market share is at the lower end.

As I said before because of the nature of Microsoft WP8 licensing there are a set of hardware features that developers will be able to target no matter what the screen resolution or processor or whatever.


That's good news then; we can only hope that recent owners of WP8 phones spend at least as much money on content as iOS device users.

How dare you?

Wait, go ahead, that is the reason they gave for Android being number 1 world-wide. Never mind. You may continue.

I am one of those South Africans that have made the change to windows phone, and I am surprised that everyone is assuming that these stats are cost motivated… Both my previous phones were iPhones and I make more than the average consumer in North America. I made the change since I like the OS and the form factor of my HTC 8x. I also like how easier it is for me to develop for my phone and how Microsoft has managed to unify the windows kernel across platforms which is intriguing for my business going forward. On the ground I can also tell you that the windows phones I see in the wild tend to be higher end models, especially the Nokia Lumia range. The fact of the matter is that emerging markets are less brand-conscious and more value-driven than our more “sophisticated” counterparts. We are too busy dealing with half our population living under the breadline than to be concerned with the self-indulgent rubbish of brand loyalism that more fortunate populations are privileged to enjoy. iPhone has for some time not delivered any real innovation and has become dated. Android has become too fragmented and tries to be too many things for too many people. Windows Phone is a solid OS and a worthy competitor that gets too much hate unnecessarily from people too focused on ideology. It is respectable third alternative.

FlawedBlake said,
I am one of those South Africans that have made the change to windows phone, and I am surprised that everyone is assuming that these stats are cost motivated…
Of course it is. Don't kid yourself.

FlawedBlake said,
The fact of the matter is that emerging markets are less brand-conscious and more value-driven than our more “sophisticated” counterparts. We are too busy dealing with half our population living under the breadline than to be concerned with the self-indulgent rubbish of brand loyalism that more fortunate populations are privileged to enjoy.
So it is cost driven. Make up your mind.

DarkNet said,
How dare you?

Wait, go ahead, that is the reason they gave for Android being number 1 world-wide. Never mind. You may continue.

US is an "emerging market" also? Android is #1 in the US also.

DarkNet said,
I never said it was. Don't make assumptions. Perhaps you should read exactly what I wrote.

You may go on with your day now.

You said that's the reason Android is # in the world (because of emerging markets) which is NOT true because Android is dominating iOS in NA and European markets also.

onionjuice said,

You said that's the reason Android is # in the world (because of emerging markets) which is NOT true because Android is dominating iOS in NA and European markets also.

Learn to read. I didn't say that, I said they said that.

cost is not the same as value, a clue is that they are different words.

looking for value makes you an intelligent consumer, respect to that tbh

BGM said,
cost is not the same as value, a clue is that they are different words.

looking for value makes you an intelligent consumer, respect to that tbh

As evidence by a no contract $299 Nexus 4. That is the best Value and Cost.

Shipping is different from selling. Just because they shipped a lot, doesnt mean they are selling. Unless they are to specific companies/people and not resellers.

Exciting times This is only the beginning. It's good that they targeted developing markets before the competitors can take the majority. It will only get bigger around the world as time passes.

Lol keep on dreaming! Remember the argument that was always used against Android, that half the people buying the phone have no idea it has Android on it? That is exactly what is happening here, the only reason people in these countries are buying these phones is because they dirt cheap, and couldn't care less that it is loaded with WP.

This is no way is beneficial to M$ devs, as none of these users would even have a clue what an app is. While it is true that M$ would have made their money in licensing costs, the vendor (NOK) could have made a much higher profit had they sold the same product with a cheaper, even free operating system such as their own Symbian or Android.

recursive said,
Lol keep on dreaming! Remember the argument that was always used against Android, that half the people buying the phone have no idea it has Android on it? That is exactly what is happening here, the only reason people in these countries are buying these phones is because they dirt cheap, and couldn't care less that it is loaded with WP.

This is no way is beneficial to M$ devs, as none of these users would even have a clue what an app is. While it is true that M$ would have made their money in licensing costs, the vendor (NOK) could have made a much higher profit had they sold the same product with a cheaper, even free operating system such as their own Symbian or Android.

Remember, WP phone aren't as cheap as Android phones can get. WP devices are all middle to high-end.

recursive said,
Lol keep on dreaming! Remember the argument that was always used against Android, that half the people buying the phone have no idea it has Android on it? That is exactly what is happening here, the only reason people in these countries are buying these phones is because they dirt cheap, and couldn't care less that it is loaded with WP.

This is no way is beneficial to M$ devs, as none of these users would even have a clue what an app is. While it is true that M$ would have made their money in licensing costs, the vendor (NOK) could have made a much higher profit had they sold the same product with a cheaper, even free operating system such as their own Symbian or Android.

LOL Microsoft is SOOO desperate right now:
http://www.neowin.net/forum/to...as-impressive-as-it-sounds/

recursive said,
the only reason people in these countries are buying these phones is because they dirt cheap, and couldn't care less that it is loaded with WP.

This is no way is beneficial to M$ devs, as none of these users would even have a clue what an app is.

You have a weirdly low opinion of people in emerging markets. Just because someone lives in Ukraine, etc. does not mean they don't know what operating systems or apps are. That's ridiculous.

Its been a while now, but I have spent quite a bit of time in so called 'cell phone stores' in atleast a couple of these countries. 99% of the people who come in ask for a 'Nokia' or a 'Sony Ericsson'. They would have absolutely no idea what an operating system is, and would buy whatever was given to them, as long as you tell them it was the next best thing to sliced bread.

I'll admit, you do at times get the odd guy who knows a thing or two, but they are so few and far between

recursive said,
the only reason people in these countries are buying these phones is because they dirt cheap, and couldn't care less that it is loaded with WP.

This is no way is beneficial to M$ devs, as none of these users would even have a clue what an app is.
.

Interesting perspective you have there; utter crap tho!

Kirkburn said,
You have a weirdly low opinion of people in emerging markets. Just because someone lives in Ukraine, etc. does not mean they don't know what operating systems or apps are. That's ridiculous.

What he said is true. At least its true in India...