The Q1 mobile phone market experienced an expected sequential downturn in shipments, with some vendors hurt more than others, according to two separate research reports out today.

According to IDC’s Worldwide Quarterly Mobile Phone Tracker, vendors shipped a total of 291.6 million units during the March quarter, down 11.6% from the 330.8 million units shipped during the previous quarter and up 14.3% from the 255 million units shipped during Q1 2007. (See charts below.)

“The mobile phone market will be under increased pressure from a number of factors that compete for users’ attention and wallets,” said Ramon T. Llamas, senior research analyst with IDC’s mobile device technology and trends team, in a statement.

“Disposable income is being eroded by rising food and fuel prices and worries about global financial markets and slow economic growth are creating a cautious outlook for the months ahead. Against this backdrop, many emerging markets continue to offer tremendous growth potential and IDC expects highly competitive pricing and innovative service plans will keep the overall market on track for the year."

IDC forecasted that demand for handsets in the low-cost segment will remain present in emerging markets throughout 2008, driving worldwide shipment growth. However, more mature regions are increasingly characterized by highly competitive markets for replacement handsets and somewhat slower shipment growth, the market research company said.

“As predicted, most mobile phone vendors experienced a lull in the first quarter of 2008 with the exception of LG,” said Ryan Reith, senior research analyst for IDC’s Worldwide Mobile Phone Tracker, in the statement. “Continued growth in the low cost segment will mean average selling prices (ASPs) will be generally lower than in the past, but this will be balanced somewhat by further expansion in the converged mobile device or smartphone segment, especially in mature markets.”

Meanwhile, Strategy Analytics pointed to Samsung as accompanying LG in notable Q1 growth. “2008 is shaping up to be the year of the Koreans. Improved handset portfolios enabled LG to grow at almost four times the annual industry average, while Samsung is growing over two times faster,” the market researcher said in its statement.

“Global handset shipments rose 14% annually, to 282 million units during Q1 2008,” Bonny Joy, an analyst at Strategy Analytics, said in the statement echoing IDC’s research. “Emerging markets in Asia and Africa continue to surge and they are compensating for the sluggish demand in developed regions of North America and Western Europe.”

That growth came in despite of Motorola, Sony Ericsson, and Apple all loosing market share in the now closed quarter, the market research company reported.

“Motorola and Sony Ericsson lost market share to rivals with stronger handset portfolios, such as LG and Samsung, while Apple has been hit by stock-outs in North America and lackluster demand for its overpriced iPhone in Western Europe,” Neil Mawston, director at Strategy Analytics, said in the statement. 

According to Strategy Analytics, Apple’s global handset shipments fell sharply, from 2.3 million units in Q4 to 1.7 million in Q1. Apple’s global market share declined for the first time, from 0.7% in Q4 to 0.6% in Q1, the data showed. Apple is expected to release its second generation iPhone at or around its June Worldwide Design Conference.