Global Sources
EE Times-Asia
Stay in touch with EE Times Asia
?
EE Times-Asia > Processors/DSPs
?
?
Processors/DSPs??

Global smartphone shipments grow nonstop at 40% this year

Posted: 29 Nov 2013 ?? ?Print Version ?Bookmark and Share

Keywords:IDC? smartphone? Android? emerging market?

According to the latest forecast from the International Data Corp. (IDC), worldwide smartphone shipments are expected to exceed one billion units in 2013, representing 39.3 percent growth over last year. Despite a number of mature markets nearing smartphone saturation, the demand for low-cost computing in emerging markets continues to drive the smartphone market forward. By 2017, total smartphone shipments are seen to hit 1.7 billion units, resulting in a CAGR of 18.4 percent from 2013-2017, added the market research firm.

A number of trends co-exist in the global smartphone market, but none have more of an effect on driving market growth than the steady decline in average selling prices (ASPs). Android has enabled a number of new manufacturers to enter the smartphone market supported by a variety of turnkey processing solutions. Many of these handset vendors have focused on low-cost devices as a way to build brand awareness. In 2013, IDC expects smartphone ASPs to be $337, down 12.8 percent from $387 in 2012. This trend will continue in the years to come and IDC expects smartphone ASPs to gradually drop to $265 by 2017.

Global smartphone forecast by region

"The key driver behind smartphone volumes in the years ahead is the expected decrease in prices," said Ramon Llamas, research manager with IDC's mobile phone team. "Particularly within emerging markets, where price sensitivity and elasticity are so important, prices will come down for smartphones to move beyond the urban elite and into the hands of mass market users. Every vendor is closely eyeing how far down they can price their devices while still realizing a profit and offering a robust smartphone experience."

Global smartphone ASP by region

From a volume perspective, emerging markets including Asia/Pacific, Latin America, and Middle East and Africa (MEA) will all post market-beating growth rates from 2013-2017. Asia/Pacific will also experience some market share growth from 2013-2017. Developed markets, by contrast, will see market share erosion, but will nonetheless see volume increases during the same time period. All combined, the worldwide smartphone market is poised for certain growth.

Similarly, from a price perspective, ASPs in these same emerging markets will post single-digit CAGR declines from 2013-2017, led by Asia/Pacific. This will enable more users to afford smartphones for the first time, and in many cases, allow users to bypass purchasing feature phones altogether and go straight to smartphones.





Article Comments - Global smartphone shipments grow non...
Comments:??
*? You can enter [0] more charecters.
*Verify code:
?
?
Webinars

Seminars

Visit Asia Webinars to learn about the latest in technology and get practical design tips.

?
?
Back to Top