The regional market for hand-held computers fell 19 per cent in the first half, according to research firm International Data Corp.
The drop was attributed to economic uncertainty in Asia, but IDC said second-half sales might improve as manufacturers introduced new models.
Hand-held makers sold 1.06 million units in the first half.
'In the midst of a gloomy economy and lack of consumer confidence, the hand-held market in Asia contracted along with the rest of the world,' IDC analyst Manny Lopez said.
China's Hi-Tech Wealth increased market share from 23 per cent to 25 per cent, but total shipments were down 26 per cent year on year. Hi-Tech sold 224,100 units in the first half, compared with about 330,000 in the same period last year.
Minren shipped about 125,000 units, about the same as last year, while Legend's shipments fell by a third to 92,600. The decline came even as manufacturers cut prices, IDC said.