Handset race heats up.

FRAMINGHAM, MA -- Handset vendors shipped a total of 272.7 million units worldwide in the second quarter, about 6.9% more than the previous quarter, and 16.5% more year-over-year, according to researcher IDC.

Samsung beat Motorola for the number two spot in global market share, with 37.4 million units shipped, added the firm.

Following a slow first quarter, Motorola announced a dismal performance in handset shipments. On the other hand, Samsung announced its fourth straight quarter of record shipments.

Motorola was the only vendor to post a year-over-year decrease among the leading vendors, slipping to third place, citing ongoing shipment challenges in Asia, the Middle East, Africa, and to a lesser extent, Europe, said IDC. On the positive side, the company crossed a milestone having shipped its 100 millionth Razr phone.

Number one Nokia's total shipments equaled more than those of the next three vendors combined (100.8 million units), said IDC. Much of Nokia's growth was attributed to its shipment growth within Europe and Asia, but still showed some signs of struggle in North America. At the same time, Nokia enjoyed a record shipment of 13.9 million units shipped in the region, thanks in part to its N-series and E-series devices.

Sony Ericsson remained the clear number four vendor, and took honors for having the largest year-over-year shipment increase among the leading vendors. Sony Ericsson's Walkman line of phones accounted for a third of its shipments, said IDC. The company also announced the W960 and W910, both expected to ship later this year.

In addition, Sony Ericsson announced plans to establish its own R & D site in Chennai, India, a move that will no doubt aid its manufacturing agreements with partners Hextronics and Foxconn, said the research firm.

LG Electronics, having reached a record shipment level, remained firmly in fifth place, and despite its improvements, closed the gap with Sony Ericsson only slightly, according to IDC.