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Emerging Markets Drive Global Smartphone Sales Or Resume Growth
- Feb 13, 2019 -

According to US media reports, global smartphone sales fell for the first time in 2018.At the same time, however, some analysts expect that smartphone sales may resume growth this year, driven by emerging markets such as India and African countries.

According to the report, Samsung and Apple bear the brunt of the decline in global smartphone sales in 2018.The two smartphone makers have recently revealed that mobile phone sales have declined in the fourth quarter of 2018.

According to the Nihon Keizai Shimbun, Apple has notified suppliers about the end of 2018, reducing the production of three new Apple smartphones launched in the fall of 2018.Production in the first quarter of 2019 is expected to decrease by an average of about 10% from the original plan.This is also the second time Apple has notified suppliers to adjust production within two months.

Recently, Apple’s earnings report lowered its revenue guidance, which is the first time Apple has lowered this expected indicator in 16 years.

In addition to Samsung and Apple, South Korea's LG's operating profit in the fourth quarter of 2018 also fell, down 80% year-on-year.The overall growth of smartphones has slowed down, and factors such as trade frictions in 2018 have had an impact on smartphone sales.According to preliminary estimates from several research companies, global smartphone sales fell by between 1% and 3% in 2018, which is the first annual decline in the history of the smartphone market.

Some analysts expect that smartphone sales will resume growth in 2019.At present, more than one billion people in India and Africa do not have smartphones, and users still have a need for equipment upgrades.The growth of these markets will drive the global smartphone market to expand further.

IDC, a world-renowned market research company, predicts that although global smartphone sales continue to decline in 2018, there will be a weak recovery in 2019 and is expected to achieve a growth of 2.6%.In the long run, global smartphone shipments will reach 1.57 billion units in 2022.

According to IDC experts, global smartphone shipments will reach 1.42 billion units in 2018, down 3% from 2017.It is expected to grow by 2.6% in 2019, and by 2022, global smartphone sales will reach 1.57 billion.The Chinese market accounts for 30% of global smartphone sales in 2017, and sales are expected to decline by 8.8% in 2018. Zero growth in 2019 and will resume growth by 2022.The US smartphone market has experienced negative growth in 2018 and will grow by 2.1% in 2019.

According to IDC, smartphone sales exceeding 5.5 inches will reach 947.1 million units, accounting for 2/3 of the total smartphone market, an increase of 50%.It is expected that by 2022, large-screen mobile phones will occupy a market share of 87.7%.The smartphone operating system market will be further monopolized.It is estimated that by 2022, Android smartphones will account for 86.2% of the market share, iOS systems will account for 13.8% of the market share, and other operating systems will have an annual sales of approximately 100,000 smartphones.

“As many large multinational companies focus on the high-end mobile phone market and want to attract consumers and high-end device users who are considering upgrading their configurations, we expect competition in this area to be particularly fierce this holiday season and next year.” IDC Global Mobile Device Tracking Report Advanced Research analyst Sanjitika Srivastala said.

In the third quarter of 2018, the 6-foot-7-inch screen became the most mainstream screen for the first time, and related mobile phone shipments increased more than three-fold year-on-year.IDC believes that by 2022, shipments of such large-size screen smartphones will increase to 1.38 billion units, accounting for 87.7% of total shipments.