According to the latest research from Strategy Analytics, global smartphone shipments reached 375 million units in the third quarter of 2016. The Android operating system captured a record 88 percent global marketshare, squeezing Apple iOS and others.

Global smartphone shipments grew 6 percent annually from 354.2 million units in Q3 2015 to 375.4 million in Q3 2016. This was the smartphone industry’s fastest growth rate for a year. Modest smartphone regrowth is being supported by emerging markets with relatively low smartphone penetration across Asia and Africa Middle East, particularly countries such as India and South Africa.

Android’s domination of global smartphone shipments remained strong in Q3 2016, with a record 88 percent of all smartphones now running Google’s OS. Android’s gain came at the expense of every major rival platform. Apple iOS lost ground to Android and dipped to 12 percent share worldwide in Q3 2016, due to a lackluster performance in China and Africa. BlackBerry and Microsoft Windows Phone have all but disappeared due to strategic shifts, while Tizen and other emerging platforms softened as a result of limited product portfolios and modest developer support.

Android’s leadership of the global smartphone market looks unassailable at the moment. Its low-cost services and user-friendly software remain attractive to hardware makers, operators and consumers worldwide. However, several challenges remain for Google. The Android platform is getting overcrowded with hundreds of manufacturers, few Android device vendors make profits, and Google’s new Pixel range is attacking its own hardware partners that made Android popular in the first place.

Exhibit 1: Global Smartphone OS Shipments and Market Share in Q3 2016  [1]