When we hear the term “Smartphone,” the first two names that spring to mind are Apple and Blackberry. These are currently the two manufacturers reaping the most reward from Smartphone sales, which are soaring.

And when we say soaring, we really mean it, current Smartphone sales accounted for 28% of Total Mobile Phone sales to-date this year. This figure is predicted to more than double to 70% by 2012. (Recession? Yeah right!) Expert and research director from Gartner, Carolina Milanesi, says “There will really be little alternative but to buy a smartphone.”

What makes this rapid rise in Smartphone sales even more interesting, is that the overall market for Mobile Phone sales has decreased on three consecutive quarters, by as much as 9.1% per quarter. Current sales (to the quarter ending – June) were 286m handsets, with 41m of those being Smartphones.

The only other sector of the market to be seeing relatively good sales, is at the opposite end of the scale, the low-end, cheap handsets, which is what we would expect when you consider we’re currently in a recession. This means that, mid-market sales (which is where the vast majority of handsets are) have dried up. Bad times for companies which have yet to develop a formidable alternative to the Apple iPhone and Blackberry Curve series.

But while Apple, BlackBerry, Symbian and the new kid on the block Android all battling out for top spot, don’t bet against the juggernaut that is Microsoft. With the US software developer prepping the launch of the new Windows Mobile 6.5 OS and early impressions good, Microsoft could turn the Smart Phone world on its head. Watch this space is all i’ll say…