Among 1.2 billion mobile subscribers in 2021, India will have 750 million smartphone users, which shows the drastic growth in the Indian smartphone market. As per a Deloitte study, this growth is likely to be boosted by the rural sector at a 6% compound annual growth rate (CAGR) compared to the urban sector’s growing at a CAGR of 2.5% in 2021 onwards.
The Indian smartphone market has been experiencing sound growth in the next five years, and this growth rate ensures India reaches one billion smartphone users by 2026.
And enhance the government’s BharatNet program to fiberize most of the villages in India by 2025.
Factors to the rise of the smartphone in India
- The launch of 5G
- Higher internet adoption
- High-speed gaming and remote healthcare
- Launches of new smartphones products,
- Adoption of fintech, e-health, and e-learning
In the pandemic period, people had to stay at home, and smartphone was the only window to see around the world, work from home, stay connected with people and friends, web series, shorts, and Reel for entertainment, and even learn new things.
In addition, international popular content such as Afghanistan, Palestine, Israel, etc., content with subtitles and dubbing to attract the audience, international football, IPL has broken earlier held views on the characteristics of the Indian smartphone market.
According to a Deloitte report, it is expected that the urban market in 2026 will be upto 95% towards new smartphones, and only 5% will remain towards pre-owned phones.
The demand for new smartphones is Estimated to increase from 300 million in 2021 to about 400 million in 2026.
The dominant factor in increasing the need for new smartphones is the launch of 5G because of its diverse applications, such as high-speed gaming and remote healthcare, which will significantly contribute 80 percent of the devices (around 310 million units) by 2026.
Domestic manufacturing plant in India
The semiconductor deficiency will continue to affect the Indian smartphone manufacturing market in 2022. but a recent joint venture of Vedanta Group and Hon Hai Technology Group (Foxconn) is signed to boost the electronic manufacturing sector in India.
It will drive smartphone manufacturing and make the country the second-largest smartphone market in five years.
And the JV ensures that India to emerge as a robust regional hub in semiconductor and electronics manufacturing, stated by P N Sudarshan, Partner and TMT Industry Leader, Deloitte India.
Smartphone shipment in India
India’s smartphone market registered its highest ever shipments in 2021. The total growing shipments of smartphones in the country are likely to achieve 1.7 billion over in 2026, creating a market of about USD 250 billion, of which nearly 840 million 5G devices are expected to be sold in five years,” it said.
The Major Companies Dominating Indian Smartphone Market for its Products and Services are Xiaomi, Vivo, Realme, Samsung, Oppo.
Indian Mobile Brands and Companies
- Micromax
- Karbonn
- Lava International
- Xolo
- Intex Technologies
- I-Ball Mobile
- LYFT
- Spice Telecom
- Celkon
Edited By- subbuthai padma
Published By- Satheesh Kumar
