The latest research from Canalys highlights the continuing shift from handhelds to converged devices. Overall year-on-year market growth of all smart mobile devices was largely unchanged from the previous two quarters at 55%, but converged device shipments (smart phones and wireless handhelds) rose 73%, while handhelds continued to slide, down 33% compared to the same period one year ago.

Sharp posted the highest growth among the top five vendors, with shipments of more than a million Symbian FOMA smart phones in Japan during the quarter. "Symbian has performed well in what many find a difficult market to crack," said Canalys analyst Nick Spencer, "Q2 saw it break the 10 million cumulative shipment barrier there, thanks to significant volumes from not only Sharp, but also vendors such as Fujitsu, Mitsubishi and Sony Ericsson."

Another vendor reaching a significant milestone in Q2 was second-placed, and second-fastest growing, Motorola, its position achieved primarily from shipments of more than a million Linux-based smart phones in China in the quarter, but helped also by the initial shipments of the long-awaited 'Q' Windows Mobile smart phone in the US as well as its continuing sales of Symbian/UIQ devices.

All these vendors remain some way behind market leader Nokia, which shipped over 9 million Symbian smart phones during the quarter, a year-on-year rise of 35%. Canalys estimates that more than 95% of these were S60 models, which have recently branched out from their consumer-oriented, keypad-centric designs to include enterprise-focused models such as the keyboard-based E61.

Palm still leads the handheld segment, ahead of HP, Dell and Mio Technology, and actually increased its share in that category by 4% year-on-year, but total market shipments of handhelds fell 33% from over 2 million in Q2 2005, to just 1.4 million last quarter–the biggest percentage fall on record.