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Counterpoint Research: Smartphone Market may Return to Growth in 2020

The decline in 2019 is attributable to growing average sale price (ASPs) of the premium tier with higher quality hardware, which will continue to increase holding periods

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Smartphones
So far, in 2019, the mobile phone market faced a slowdown as many developed markets have broadly transitioned to 4G networks and Smartphones. Pixabay

Launch of 5G devices and services, as well as growing demand in emerging markets like India, Russia, Indonesia, will help the global smartphone market return to growth in 2020, says a new forecast by Counterpoint Research.

This is after another year of slow sales in 2019 due to a slowdown in the developed markets due to a longer replacement cycle, increasing sales of refurbished devices, the lack of 5G iPhones, and the US trade ban on Huawei.

“We estimate that smartphone shipments in 2019 will decline by 3 per cent year-on-year (YoY). So far, in 2019, the mobile phone market faced a slowdown as many developed markets have broadly transitioned to 4G networks and smartphones.

“The launch of 5G services in 2019 will bring some relief to OEMs and reduce the quantum of market decline in 2019. However, the impact of the launch of 5G devices and services will fully reflect in 2020,” Shobhit Srivastava, Research Analyst, COunterpoint Research, said in a statement.

The decline in 2019 is attributable to growing average sale price (ASPs) of the premium tier with higher quality hardware, which will continue to increase holding periods.

Smartphones
The impact of the launch of 5G Smartphones and services will fully reflect in 2020. Pixabay

Initially, operators providing subsidies on high-cost 5G devices, in order to poach in early users, will help push 5G device shipments. The prices of such devices are estimated to decline in 2020 and will further increase the adoption.

“Looking closely at the other factors that hindered smartphone sales in 2019, we see that the untimely ban on Huawei has left a big mark on the global smartphone market. However, Huawei has been aggressively increasing its market share in China to counter the decline in overseas markets,” Srivastava added.

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The Chinese smartphone giant has already shipped over 115 million smartphones in the first half of (H1) 2019, and the push in China will help it post annual growth in 2019, the market research firm estimates. (IANS)

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Google Having Access to Fitbit’s Data a Privacy Risk: EDPB

Google accessing Fitbit data major privacy risk: EU advisors

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Google
EDPB was warned the European Commission of the potential privacy risks of Google having access to Fitbit's data. Pixabay

The European Data Protection Board (EDPB) was warned the European Commission of the potential privacy risks of Google having access to Fitbit’s data.

This comes in the wake of the tech giant’s plan to scoop up the health and activity data of millions of Fitbit users, months after its parent company Alphabet acquired it.

Regulators are in the process of considering whether to allow the tech giant to gobble up all this data, TechCrunch reported on Thursday.

In a statement, the board writes: “There are concerns that the possible further combination and accumulation of sensitive personal data regarding people in Europe by a major tech company could entail a high level of risk to the fundamental rights to privacy and to the protection of personal data.”

Google
Regulators are in the process of considering whether to allow Google to gobble up all this data, TechCrunch reported on Thursday. Pixabay

It is pertinent to note that, as it stands today, Google is still waiting on regulatory approval for its Fitbit acquisition.

In the EU, how privacy is handled will have a huge impact on whether or not the deal goes through.

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The EDPB also leaves a reminder that Google and Fitbit are obligated to conduct a transparent assessment of “the data protection requirements and privacy implications” regarding this merger. The US Justice Department has also raised concerns, according to 9to5Google.

Aplphabet-Google acquired Fitbit as a whole for $2.1 billion late last year, a deal that includes the user data of Fitbit customers including activity, sleep, location, and other health data. (IANS)