"The United States is maturing and has now lost its crown to China as the world's largest mobile phone market by revenue," said Neil Mawston, executive director at Strategy Analytics, in a release.
Chinese mobile phone revenues are seen surging 53 percent this year, compared to only 4 percent growth in the U.S.
A key driver for the Chinese market is demand for more sophisticated 3G and 4G phones, which offer users faster information transfer rates. The market looks promising, given that 70 percent of China Mobile subscribers still use 2G, according to research provider Canalys.
"Major brands, such as Samsung, Huawei and Lenovo, are aggressively expanding their distribution channels and product ranges across the region to meet extremely strong demand from Chinese consumers for more advanced mobile phones," Woody Oh, senior analyst at Strategy Analytics, said in the release.
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