Research conducted by Gartner has shown that there were 325.6 million handsets sold in the second quarter of the current financial year.
Gartner said that the increase is a 13.8 per cent
According to the Wall Street Journal, average retail prices have decreased more than estimated due to intense competition in the smartphone market.
"Although the mobile communication devices market showed double-digit growth this quarter, average selling prices (ASPs) were lower than expected and margins fell. We attribute the decline in ASPs to a stronger dollar, a depreciating euro, and intense competition," said Carolina Milanesi, research vice president at Gartner.
The research showed that 41.2 per cent of all smartphones sold in Q2 were made by Nokia. RIM's BlackBerry devices were the second most sold smartphones, accounting for 18.2 per cent of sales.
Android phones have overtaken Apple to occupy third place, but Apple is expected to increase sales over the rest of the year thanks to the release of the iPhone 4.