Global smartphone market set for 3% rebound in 2024: Report

Global smartphone market is likely to witness 3 per cent rebound in 2024, with shipments expected to rebound by 3 per cent, according to a report by Counterpoint Research. The expected recovery is attributed to several factors, including easing inflation, robust demand in emerging markets and the integration of generative AI technology in premium devices.

In contrast to the previous year's decline of more than 4 per cent, the market is expected to see renewed growth, fuelled by increased consumer confidence and spending in an improving economic landscape. Emerging markets such as India, the Middle East, and Africa are identified as key drivers of growth, particularly in the budget-economy segment.

The budget segment, forecasted to grow by 11 per cent in 2024, is set to benefit from favourable economic conditions in regions like Africa and Latin America. Additionally, heightened competition among Chinese companies like Oppo, Vivo, and Xiaomi is expected to further stimulate demand in this segment.

Furthermore, the premium segment, encompassing devices priced between $600 and $799, is projected to see a robust 17 per cent growth. The growth is attributed to the introduction of innovative technologies such as genAI and the increasing popularity of foldable devices.

Apple and Huawei are positioned to emerge as key players in the premium market, with Apple expected to capitalize on steady demand for iPhones, particularly in emerging markets. Meanwhile, Huawei's strong presence in China, coupled with the release of its 5G Kirin chipset, is anticipated to bolster its market position.

However, competition from Huawei has exerted pressure on iPhone sales in China, resulting in a 24 per cent decline in the first six weeks of 2024. Nevertheless, Apple's potential collaboration with Google's Gemini AI engine for the iPhone underscores the company's commitment to innovation and enhancing user experience.

(With Reuters inputs)