Motorola, Jabra and Plantronics Take 57 Percent of Global Bluetooth Headset Market in 2005

Business Wire, June 22, 2006

BOSTON -- Motorola, Jabra and Plantronics were the world's big three Bluetooth headset vendors, taking a combined 57 percent share of total global sales in 2005, according to the latest research from Strategy Analytics. Motorola demonstrated that it has strong expertise beyond mobile phones, with a commanding 28 percent stake in first position.

Neil Mawston, Associate Director at Strategy Analytics said, "Global Bluetooth headset sales grew at a skyrocketing 153 percent in 2005. High levels of user interest have finally evolved into strong demand, driven by falling prices. Motorola stands out as the clear number one, with a healthy 28 percent share, due to a portfolio of cool designs supported by aggressive marketing activities."

Chris Ambrosio, Director at Strategy Analytics, added, "Bluetooth sales to-date have been dominated by mono headsets for mobile voice. Looking forward, future revenue growth will increasingly be driven by the need for stereo headsets in mobile music and rich media, like TV. However, with average retail pricing in excess of US$100 today, stereo Bluetooth headset prices will need to fall by more than 50 percent in order to hit the mass-market sweet spot, which we find to be below US$50."

Other findings from Strategy Analytics' Bluetooth Headset Market Share Report include:

--Global Bluetooth headset sales will grow an impressive 70% annually in 2006;

--The A2DP Bluetooth profile, critical for stereo music, will be found in 1 in 8 of all Bluetooth phones sold worldwide during 2006.

Exhibit 1: Global Bluetooth Headset Shipment Market Share: Top 3
Vendors in 2005

          Global Bluetooth Headset Market Share    % Share
         ---------------------------------------------------
          Motorola                                   28.2%
          Jabra                                      16.3%
          Plantronics                                12.3%
          Others                                     43.2%
         ---------------------------------------------------
          Total                                     100.0%
         ===================================================

About Strategy Analytics

Strategy Analytics, Inc., a global research and consulting firm, provides timely insights and strategic business solutions to companies operating at the convergence of information, communications and entertainment technologies. With worldwide headquarters in Newton, MA, and principal offices in England, France and Germany, Strategy Analytics focuses on market opportunities and challenges in the areas of Automotive Electronics, Broadband, Telematics, Wireless Strategies and Enabling Technologies. For more information, see www.strategyanalytics.com.