In Short:
Global smartphone shipments are predicted to grow by 3% in 2024 to reach 1.2 billion units, with emerging markets like India and MEA driving the growth in the budget segment. The rebound is attributed to the integration of GenAI features in premium devices and easing inflationary pressures. Counterpoint Research expects steady growth in the premium segment, with Apple and Huawei leading the way.
Global Smartphone Shipments to Rebound by 3% in 2024
A recent report by Counterpoint Research predicts that global smartphone shipments will see a modest rebound of 3% year-over-year in 2024, reaching 1.2 billion units. This growth is expected to be driven by the integration of generative artificial intelligence (GenAI) features into premium devices and the easing of inflationary pressures in emerging markets.
Growth Outlook
The International Data Corporation (IDC) also projects a positive outlook, stating that global smartphone shipments are set to reach 1.20 billion units in 2024, marking a 2.8% year-over-year growth. Emerging markets like India and the Middle East and Africa (MEA) are expected to play a significant role in driving this growth, especially in the budget economy segment.
Segment Analysis
The budget economy segment ($150-$249) and the premium segment ($600-$799) are anticipated to fuel the rebound in 2024. The budget economy segment is expected to grow by 11% year-over-year, driven by markets like India, MEA, and Latin America, supported by the easing of inflationary pressures and local currency stabilization.
Competition and Innovation
Steady investments by Chinese OEMs such as Oppo, Vivo, Xiaomi, and Transsion Group in emerging markets are intensifying competition and driving demand for budget-economy smartphones. Additionally, the introduction of genAI smartphones and foldable devices is expected to boost demand in the premium segment.
Market Leaders
Apple and Huawei are projected to lead the growth in the premium segment. Apple’s strong demand for iPhones in emerging markets and Huawei’s presence in China’s market with its 5G Kirin chipset are cited as key factors driving their growth.
Long-Term Outlook
Counterpoint Research foresees a low-single-digit year-over-year increase in global smartphone shipments in the long term, indicating a positive trend for the market’s recovery.
