Siemens slipped to fifth place in the cell phone global rankings as LG Electronics posted strong sales of 13.9 million handsets last quarter.
The news comes amidst growing concern regarding Siemens' mobile phone division; struggling financially and rumored to be seeking joint venture partnerships.
Aspiring to be a top three player, LG has been steadily gaining ground, overtaking Japanese-Swedish joint venture Sony Ericsson in 2003. Primarily a manufacturer of entry-level products, it now places fourth, behind fellow Korean manufacturer Samsung, which slipped into third following strong Motorola sales.