Despite limited geographical coverage, the Apple iPhone has captured 6.5 percent of the 2007 Q4 worldwide smartphone market, according to a Canalys report on Tuesday. That was enough to place them in third place.

Key findings for 2007 were as follows:

• North America is growing fast – smartphone shipments doubled to 20.9 million, from 10.3 million in 2006
• Nokia remained global market leader, shipping 60.5 million smart phones
• RIM shipments grew 112% year-on-year to 12.2 million, strengthening its second place position
• By OS provider, Symbian leads on 67% share, followed by Microsoft on 13%, with RIM on 10%.

For Q4, Canalys noted, in part, that:

• Apple achieved third place despite its limited geographic coverage, with 7% share
• Symbian leads with 65% share, ahead of Microsoft on 12%, RIM on 11%, Apple on 7%, and Linux at 5%
• Nokia and RIM retained their number one and two positions

Data source: Canalys

Canalys analyzed Apple's presence in the smartphone market and commented on the media attention that has led to Apple's ability to shake up the status quo and steal market share away from Nokia, RIM, Palm and Motorola.

“When you consider that it launched part way through the year, with limited operator and country coverage, and essentially just one product, Apple has shown very clearly that it can make a difference and has sent a wakeup call to the market leaders," said Pete Cunningham, Canalys senior analyst. "What it must demonstrate now is that it can build a sustainable business in the converged device space, expanding its coverage and product portfolio. It will also need to ensure that the exclusive relationships that got it so far so quickly do not prove to be a limit on what it can achieve. Apple’s innovation in its mobile phone user interface has prompted a lot of design activity among competitors."

Mr. Cunningham continued: " We saw the beginnings of that in 2007, but we will see a lot more in 2008 as other smart phone vendors try to catch up and then get back in front. Experience shows that a vendor with only one smart phone design, no matter how good that design is, will soon struggle. A broad, continually refreshed portfolio is needed to retain and grow share in this dynamic market. This race is a marathon, but you pretty much have to sprint every lap."

Canalys also pointed out that Apple took 28 percent of the converged device market, enough to put it seven points ahead of all Windows Mobile devices combined.