Mobile phone sales are rising, showing improvement in fourth quarter shipments despite an overall decline in 2023, according to the newly released International Data Corporation (IDC) Worldwide Quarterly Mobile Phone Tracker. Notably, iPhones have performed better than other devices, and adoption of 5G technology is anticipated to boost sales further.
Global smartphone shipments are forecast to jump 7.3% in the fourth quarter compared to the year-earlier period. For all of 2023, smartphone shipments are expected to decline 3.5% to 1.16 billion devices, but that’s a rosier forecast than the 4.7% drop predicted earlier in the year. IDC says the market recovery will continue in 2024 with 3.4% growth.
“Apple has been more resilient during this macro crisis, as its consumers tend to be more affluent, so not impacted as much by economic challenges but also because of massive trade-ins and financing which are usually focused on premium products, making them more accessible and affordable,” Nabila Popal, research director with IDC’s Mobility and Consumer Device Trackers, said.“ Also, Android players mostly play in the low-end segments, and the majority of their volume comes from emerging markets and China, which were the regions hardest hit during the crisis.”
Mobile phone prices to rise
In 2023, the average price of smartphones is expected to go up by 5.5% to $438. The increase is part of a trend where prices have been rising for four years, mainly because more expensive, premium phones are selling well everywhere. But, the price hike is likely to slow down and might drop to $396 by 2027, although that’s still higher than what was previously forecast.
Looking at the types of smartphone systems this year, iOS is doing slightly better than others despite challenging market conditions, with a slight growth of 0.6%, reaching its highest market share ever at 19.6% this year. On the other hand, Android phones are expected to see a decline of 4.4%. In the long run, Android will grow faster than iOS and is expected to hold about 81.3% of the market by the end of the forecast period, according to IDC .
While Android remains the most popular smartphone OS worldwide by a considerable margin, the iPhone has always had a stronger hold over the US market, Steven Athwal, the managing director at The Big Phone Store, said in an interview.
“When a new iPhone is released, it may be compared side by side with a Samsung phone, or a Google phone, or maybe even a newer brand such as Nothing,” he added. “Whenever a flagship Android phone is released, no matter what the brand, it is almost always compared to the iPhone.”
Recovery in the tech market is happening at different speeds in different places, but it’s evident in China, said Popal. People there are starting to buy more gadgets, mainly because they’re excited about Huawei making a comeback. The uptick in interest will likely help the whole Android market in the long run.
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2023-12-06 10:41:02
Link from www.computerworld.com rnrn
