China will become the world's largest mobiles phones market by revenue for the first time by year end, overtaking the United States, an industry report said. Internet guru Mary Meeker has identified the country as the most mobiles nation in the world.

 

phones sales will reach $87 billion in China during 2014, a jump of 53 percent year-on-year. That compares with $60 billion projected sales in the US, Strategy Analytics said.

 

 

        Smartphoness dominate sales. Chinese shoppers will buy more than 400 million smartphoness this year, according to local research company Analysys International. The amount is on track to break 500 million by 2016, it said.

 

Meeker acknowledged China's role in the global mobiles Internet sector. The world's second-largest economy is moving swiftly to become a leader in mobiles commerce, helped with applications installed on smartphoness, according to Meeker. She is a partner at venture capital firm Kleiner Perkins Caufield & Byers.

 

As of last year, more than 500 million Chinese were using mobiles devices - primarily smartphoness - to connect to the Internet, according to the China Internet Network Information Center. The penetration rate of mobiles Internet users rose to a record 81 percent in 2013.

 

China beat the US in terms of smartphones shipments in 2012.

 

The growth in mobiles devices is driven by the country's rapid shift to fourth-generation telecommunications technologies, analysts said.

 

Leading players, such as Samsung Electronics Co, Huawei Technologies Co Ltd and Lenovo Group Ltd, have pledged to expand their distribution channels, and a widening product offering is diversifying demand in China.

 

Although China leads the global mobiles phones market in many ways, the Strategy Analytics report said the US is most likely to remain the most valuable market by profit for a while.

 

 

        "High average selling prices and huge operator subsidies will make the US a very profitable market for major device brands such as Apple and Samsung," it said.

 

 

 The world's leading smartphones brands may find it difficult to maintain a high growth rate in China, where analysts said the high double-digit expansion may be nearing its end. Additionally, local players are vigorously expanding businesses on their home turf.

 

Lenovo, better known for its PC business outside China, is betting on smartphoness for future profit. The Beijing-based company became the second-largest smartphones vendor in China by the end of the first quarter, data from Analysys International showed. Its 12.3 percent market share only lags behind Samsung.

 

Coolpad - Yulong Computer Telecommunication Scientific (Shenzhen) Co Ltd - as well as Huawei and Xiaomi Corp enjoyed near double-digit market share and Apple's share dropped to less than 7 percent.

 

Bryan Wang, China head at consultancy Forrester Research Inc, said 4G is a necessary feature for companies such as Xiaomi to put into their portfolio as Chinese are eager for faster Internet speeds.