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India may not see a billion smartphone users even by the end of this decade

India may not see a billion smartphone users even by the end of this decade and there are seven key challenges to achieve 100 per cent smartphone penetration, according to a new report. With the shrinking addressable base for smartphones, India is likely to have 887.4 million smartphone users by 2030, said the report by Gurugram-based market intelligence firm techARC.

The new smartphone user acquisition has been on a decline since 2018, after 4G drove switch to smartphones as it ushered several new use cases and forced feature phone users to upgrade. This, however, is not the case with 5G, which can substantially bring out a new use case for the mobile users compelling the feature phone users to move to a smartphone.

Affordability is the first concern even if users would discover their own use cases. "This is on account of both - investment in the device and the recurring data cost. Even to own a device, it's a substantial increase in the outlay for around 200-250 million users who cannot spent more than Rs 1,500 on a mobile device," said Faisal Kawoosa, Founder and Chief Analyst, techARC.

round gold-colored rupee coins and banknotes Even to own a device, it's a substantial increase in the outlay for around 200-250 million users who cannot spent more than Rs 1,500 on a mobile device. | Photo by rupixen.com on Unsplash

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