The market research firm estimated total third quarter sales of $3.2 billion. Sales of smartphones during the recent quarter accounted for 11% of total phone sales, up from 4% in the previous year. The total percentage increase for smartphones was 163%, NPD said.

"The mobile phone market is not only growing, it is growing smarter," said Ross Rubin, NPD's director of industry analysis, in a statement. "The nearly threefold increase in smartphones shows that this once negligible niche is becoming a more influential force in the consumer market -- attracting entrants such as Apple and the Open Handset Alliance."

Motorola captured 31% of the U.S. market during the quarter with LG and Samsung following with 17% and 16%, respectively. Nokia, which dominates the worldwide handset market, accounted for 11% of the U.S. market, according to the NPD report. Sanyo got 4% of the U.S. market.

NPD noted that Bluetooth showed gains with 72% of phones sold in the third quarter outfitted with the wireless technology. Last year, just 44% of phones were sold with Bluetooth. Phones with music playing capability were also up -- 50% of the phones came with built-in music players, about double the prior year's percentage.

"Carriers continue to be the dominant distribution channel for mobile phones," Rubin said. "However, mass merchants are bringing in new customers, such as those on pre-paid plans, and wireless specialists offer a broader range of carriers from which to choose."