The factors determining consumers’ choice of mobile phone will become increasingly centred around the capabilities of the operating system used, as more people consider compatibility with their favourite services, software programmes, and integration with their ‘Internet of Things’.

This could be an advantage for brands that control both hardware and software, as companies such as Apple and Microsoft will be have the benefit of building devices with services in mind, and vice-versa.

Manufacturers that use third-party operating systems may not have the same foresight, while their reliance may see them suffer from a lack of differentiation. As a result, hardware-only brands will face the increasingly difficult challenge of standing out through offering enhanced product design or unique features, which may explain why Samsung is one company trialling a phone running its own Tizen OS overseas.

This report covers the UK consumer market for mobile phones. Mobile phones are defined as any device being used to place or receive calls by connecting to a mobile network. “Basic mobile phones” and “Feature phones” are terms used to describe non-smartphones.

Smartphones are defined as any portable computer capable of making calls, sending and receiving data (either over a mobile or Wi-Fi network), and downloading, installing, and running applications from an app store.

Market value data in this report includes sales of feature phones and smartphones to consumers.