Smartphones have become an essential part of our daily lives enabling connectivity, communication and access to a multitude of applications and services. Smartphones integrate various functionalities such as high resolution cameras, advanced processors and large touch screens in a compact form factor providing users capabilities beyond basic calling and messaging. The market is witnessing increasing demand for high-end smartphones with flagship features and specifications.
The global Smartphone Market is estimated to be valued at US$ 1.45 Bn in 2024 and is expected to exhibit a CAGR of 5.8% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends in the smartphone market is the growing adoption of dual rear cameras. Many smartphone manufacturers are focusing on enhancing camera capabilities by integrating dual rear cameras with features like optical zoom, portrait mode etc. This allows users to capture high quality images with effects like blurred backgrounds. Another major trend is the use of AI assistants in smartphones. Players are building voice assistants directly into devices powered by AI and machine learning. This enables users to get information and control devices through natural voice commands providing a more convenient experience.
Threat of new entrants: The threat of new entrants is moderate. Although the barriers to entry in terms of capital requirements are relatively low, the market is dominated by prominent players with strong brand images and distribution networks.
Bargaining power of buyers: The bargaining power of buyers is high due to the availability of a wide range of smartphones from various brands at different price points. Buyers can negotiate on the price and compare different product offerings.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as major players source components from different suppliers and can switch to alternate suppliers in case of pressure on pricing.
Threat of new substitutes: The threat of new substitutes is low as no direct substitute for smartphones currently exists in the market. Tablets offer partial substitution.
Competitive rivalry: Competition in the market is high given the presence of major players like Apple, Samsung, Oppo, Vivo etc. competing on the basis of pricing, features, and brand loyalty.
The Global Smartphone Market Size is expected to witness high growth over the forecast period driven by rising internet and social media penetration. The global Smartphone Market is estimated to be valued at US$ 1.45 Bn in 2024 and is expected to exhibit a CAGR of 5.8% over the forecast period 2023 to 2030.
Regional analysis –
Asia Pacific currently dominates the global smartphone market with China being the largest market. Europe is also a significant regional market led by countries like the UK and Germany. The North American and European markets are relatively mature however still offer scope for growth in mid-range and specialty smartphones. Growth in Asia is projected to be driven by India where smartphone adoption is rising exponentially alongside affordable financing options and low-cost smartphones from Chinese brands.
Key players operating in the smartphone market are Vidyo, Sinch, GENBAND, Twilio Inc., TokBox, Agro.io, and Xura. Major brands like Apple and Samsung collectively account for over 40% of global smartphone shipments. Mid-tier players like Oppo, Vivo, Xiaomi are expanding their reach globally. Innovation in 5G technology, artificial intelligence-based features, and increasing focus on durable designs are some key trends among leading players.
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it