Effects of COVID-19 on Smartphone Industry

85
Sourche: Mashable

The smartphone market is shrinking: production is recovering, demand is decreasing. The pandemic has caused the smartphone market to shrink enormously compared to the same period last year. This has emerged from research by two market researchers, namely Checkpoint Research and Canalys.

Both research agencies show a decrease of thirteen per cent when it comes to shipped devices worldwide. According to Counterpoint, the decline in China was very strong with a whopping 27 per cent. Canalys estimates that that percentage does not exceed eighteen per cent. Whatever figures you use, one thing is clear: the pandemic is causing problems. This is the first time that the number of smartphones shipped worldwide has fallen below 300 million. In China, the decline preceded the rest of the world.

Number of shipped smartphones dropped significantly

Samsung, Huawei and Apple are still the three manufacturers that ship most smartphones. If we look at the same period from a year ago, we see that Apple received the smallest blow. It is also striking that both Canalys and Counterpoint report that Xiaomi is in fourth place and now owns ten per cent of the market.

A Canalys analyst says the demand for new devices is currently crushed. In February, manufacturers were left wondering how to make enough phones when production in China came to a halt. But now the situation has turned: production is picking up, but demand is decreasing. This has everything to do with a lockdown: job security is not a given for many people, which means that certain expenses are postponed and postponed.

A director of Counterpoint notes that consumers currently usually only buy new smartphones when the old one is broken. As a result, it is now also the case that the replacement cycle is longer than is normally the case. Should your phone be broken or are you in the market for a new one? Then we have a handy overview here for you. Fortunately, smartphones don’t have to cost much at all.

1 COMMENT

LEAVE A REPLY

Please enter your comment!
Please enter your name here