A picture is worth a thousand words. This little diptych from asymco shows unit penetration now over 85 million. The rapid growth of iOS powered devices and explosion of Android devices is astounding. And though having a negative sales impact on smartphones from RIM, MS or Palm, this is not a zero sum game. New smartphone sales of all types are supplanting lesser endowed cellular devices.
Be sure to check this out – which shows you not only how fast the smartphone market is growing but how much headroom is available for these devices. These growth rates should begin to slow and then plateau in the very near future (once the total base gets to about 50% of all cellular devices). Simply at some point the rate of substitution falls off as all those who are going to switch will have switched. There are still people using Dial-Up even when DSL or Cable are available to them. Go figure.