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iPhone Becomes New Handset King

Posted: November 10, 2008

Although most in the wireless industry thought it was inevitable, it is still significant that, according to new data from NPD Group, the iPhone has already become the top-selling handset in the United States. This achievement is all the more remarkable when you consider that Motorola’s Razr, the handset that the iPhone displaced at the top in the third quarter of 2008, has held the top spot for 3 years straight.

NPD analyst Ross Rubin called the ascension of the iPhone over the Razr “a watershed shift.”

While the mobile internet had been a feature that most consumers could live without until recently, it has clearly become such an essential tool for mobile subscribers, along with text messaging and other advanced data features, that even phones as expensive as the iPhone are selling in record numbers.

“Four of the five best-selling handsets in the third quarter were optimized for messaging and other advanced Internet features,” Rubin said.

The analyst said he discerned a growing divide in the handset market between voice-centric phones and those optimized for data and Internet usage. Fully 30% sought a device with a QWERTY keypad, up from 11% in the prior year. U.S. carriers combined now offer 50 models of smartphones, while in Europe that number is nearly 250 models.

Cellit is heeding the call for robust mobile campaigns which incorporate consumers’ new thirst for more interactive mobile experiences. While text-messaging remains the backbone of Cellit’s suite of services, new features, such as WAP sites and custom iPhone apps have been added to their repertoire to engage the consumer in ways that simply weren’t possible until smartphones and other data-enabled devices appeared.