Mobile Phone Market Size (2023 - 2030)

The global mobile phone market size is estimated to be $XX billion in 2022 and is expected to grow at a CAGR of XX% from 2022 to 2030. Factors such as increasing usage of mobile phones, disposable income, development of telecom industries, the emergence of pocket-friendly phones, and an increasing number of product launches are contributing to the growth of the mobile phone market across the globe.

Industry Overview:

Mobile phones are phones that have basic features including messaging, voice calling, audio and video visualization, and cameras. Smartphones and feature phones are both examples of mobile phones. They provide a variety of services, including internet browsing, video calling, Wi-Fi, Bluetooth, GPS applications, and more.
Because of developments in mobile communication technology, smartphones have achieved widespread acceptability in the market, although feature phones still account for half of the total volume sold in the global market. While newcomers focus on creating low-cost smart feature phones, market leaders place a premium on smartphone technology innovation. The industry is fiercely competitive, with major corporations facing tough competition from small enterprises from the region, making it difficult for vendors to maintain market share.

COVID-19 Impact on Global Mobile Phone Market:

The pandemic has altered the life of every individual across the world. The mobile phone industry experienced an economic drought in recent years. Consumer's demand for mobile phones, especially of premium segment has witnessed a decline due to the tendency of consumers to cut down their spending on luxury items.

Many mobile phone manufacturing units were shut down due to the disruptions in global supply line. Since, China is the global manufacturing center for most of these devices and components, with nationwide lockdown the mobile phone manufacturing sector has been skeptically hit by delayed deliveries and weakened R&D activities.

Component shortages, unit shutdowns, quarantine mandates, logistics, and travel restrictions were the bottlenecks in the production of handsets and roll out of new devices for mobile phone vendors. Contrarily, due to the outbreak, online channel sales are expected to reach 23% which was a 3% increase from previous year. As the pandemic subsided, consumers started spending money on discretionary items and markets opened. Nevertheless, the global components shortage might have affected the mobile phone industry as the demand and supply equilibrium were unmet which in turn, increased the average selling price of mobile phones globally.

Market Drivers:

• Technological Advances in Mobile Network Technology:

Many industry observers have marked foldable phones and the rave in 5G technology as the future of the mobile phone industry and a potential driver of market growth. Networks such as 5G have started to catch up with Wi-Fi as the preferred means of connecting to the Internet from mobile devices. The better features offered by 5G technology will enable developers to create more responsive and fast apps. This technology will also pave the way for more apps using augmented and virtual reality, IoT, artificial intelligence, and machine learning.

• Mobile phone addiction is also considered as a major market driver. More than one-third of consumers worldwide said they check their phone within five minutes of waking up in the morning, and 20 percent of them check their phone more than 50 times a day. The reliance on smartphones seems likely to increase as more features become available.

• E-Wallets and Online Payments gaining traction in recent era

Consumers' lives have become less stressful as a consequence of the ease with which they can perform tasks such as online payment. As more individuals use the internet to transfer money, service providers will strive to improve and safeguard their products.

• Adoption of AI and Machine Learning:

AI and ML are the forces behind chatbots, facial detection, motion detection, recommendation engines, speech recognition, text prediction, financial forecasting, and much more. As the technology becomes more advanced, the number of ways and the ease with which it can be integrated into a mobile phone also increases.

Market Restraints:

Mobile device threats - Mobile device exploits are on the rise. In the past year, 40% of organizations reported a mobile device-related incident, and 66% of those said the damage was significant. Potentially harmful applications leaking data or without current controls can lead to unauthorized access and use of user data. Security concerns, accidental data leakage via malicious applications, unsecured public Wi-Fi, phishing attacks, IoT threats and government restrictions on production are some of the significant restraints for the mobile phone market.

MOBILE PHONE MARKET REPORT COVERAGE:

Segment Analysis:

The global mobile phone market is segmented based on distribution mode, OS, network technology, RAM, screen size, distribution channels, display type, user-age groups, specialty and cost.

Global Mobile phone Market – Modes of Distribution

•  Online

•  Offline

•  Company Outlets

•  Wholesale Outlets

•  Small Retail Outlets

•  Market Intermediaries

•  Resellers

The big distributors aren’t capable of selling a shipment by themselves. They can sign up with multiple small, region-based distributors. The distribution network can go up to multiple levels. The last level is the retailers. They get it from either local distributors or the national distributors. Croma, Reliance Digital are few of the big-ticket retailers. Lastly, there are three levels involved which embraces distributors, resellers and retailers.

Global Mobile Phone Market   – By Operating System

1. Android

2. iOS

3. Nokia’s Symbian

4. Linux

5. Samsung’s Bada

6. Others

The mobile operating system models are used to provide various interfaces of communication between the software components at the application layer, middleware layers, and hardware devices. Android has a 73% market share for smartphones and other pocket-sized devices, whereas Apple's iOS has a 27% share. The latest version of Android OS is 12, which was released in October 2021.

Global Mobile Phone Market – By User-interfaces

1. Touchscreen

2. Keypad

3. Touch and Type Phones

The global market for Touch Screen Displays is expected to reach a revised size of $XX billion by 2027, rising at a CAGR of XX percent throughout the analysis period of 2022-2027, despite the COVID-19 problem.

Global Mobile Phone Market – By RAM

1. Below 2GB

2. 2 – 4GB

3. 6 GB

4. 8 GB

RAM, is where the phone stores information when it's not using it, but might in the near future. It is a lot faster than the internal storage. Micron announced the mass production of their low-power DDR5 DRAM in February 2020, which would be used in Xiaomi Mi 10 smartphone. This LPDDR5 DRAM, which has Xiaomi as a memory technology partner, seeks to provide power efficiency and higher data access rates in smartphones to match artificial intelligence (AI) and 5G capability.

The higher the capacity of RAM, the higher is the speed of the phone, which means the mobile can store more amount of primary data readily accessible for the CPU.

Key players of Global mobile phone industry

1. Samsung Electronics

2. Apple Inc.

3. Huawei Technologies Co., Ltd.

4. Xiaomi Corporation

5. Vivo Communication Technology Co. Ltd

6. LG Electronics

7. Motorola Inc.

8. Mitac Technology Corp.

9. Research In Motion Ltd.

10. Sagem Wireless

Regional Analysis:

• By the end of 2020, XX million people in North America subscribed to mobile services, representing XX% of the region’s population. This places North America among the world’s most developed mobile markets.

• The European mobile phone market decelerated notably in 2020 due to the ongoing pandemic, but there were some remarkable key performers on the continent despite the dip.

• The Asia-Pacific region is one of the outstanding markets for mobile phones, primarily as a consequence of extremely developing telecom sector and huge customer base. This region is increasingly investing in the mobile network communication. Countries, such as India, Japan, Australia, Singapore, and South Korea, are progressively investing on the development of the domestic telecom market, which is also expected to drive the market in the region.

• Rest of the World - In the Middle East and Africa region, the number of smartphone users nearly doubled from 86 million in 2014 to an anticipated 180 million in 2021. This region has the greatest smartphone penetration rate in the GCC subregion, with nations like the United Arab Emirates reaching 99% and users spending about six and a half hours each day on their cellphones.

Recent Developments

• October 2020 - Apple Inc. launched iPhone 12 Pro and iPhone 12 Pro Max, providing powerful 5G experience and advanced technologies. It featured a new design and edge-to-edge Super Retina XDR displays, the largest ever on iPhone, protected by the all-new Ceramic Shield front cover, which provides the biggest jump in durability ever on iPhone. It featured Apple-designed A14 Bionic chip, all-new Apple ProRAW for more creative control in photos, and enables the first end-to-end Dolby Vision video experience, up to 60 fps.

• July 2020 - Samsung Electronics introduced the Galaxy Z Flip 5G. The Galaxy Z Flip 5G is the first device in Samsung’s Galaxy line-up to feature the Qualcomm Snapdragon 865 Plus 5G Mobile Platform. This new platform maximizes the power of 5G with revved-up performance to deliver faster and more efficient on-device processing with sharper imagery through improved graphics rendering.

• Oppo has announced its first foldable phone ahead of the Inno Day 2021 event scheduled for December 14. The company shared a post on microblogging site Twitter, giving the first glimpse of the upcoming foldable phone dubbed as Oppo Find N.