Smartphone shipments to surge 19% in 2014
Sales of smartphones to exceed 1 billion for the first time this year driven by low-end devices, new Juniper Research report says
Smartphone shipments in 2014 have been forecast to grow 19% year-on-year topping the 1 billion figure for the first time, according to a new study conducted by Juniper Research.
The report has forecast for 1.2bn smartphones to be sold throughout the year, driven largely by strong growth in sales of low-cost economy ($75-$150) and ultra-economy (>$75) devices.
Although Apple and Samsung will continue to be the dominant manufacturers in the sector and account for nearly 45% of all smartphone shipments in 2014, the increase in popularity of budget devices has grown with manufacturers such as Xiaomi and Lenovo offering cheaper handsets with similar capabilities.
âThese new players are beginning to build market share and achieve larger economies of scale, which eventually will enable them to expand their offering and challenge other smartphone sectors in the future,â the report said.
The growth of discount manufacturers is also having an impact on the average smartphone selling price which has been forecast to decline to a global average of $274 by 2019.
Apple is however forecast to get the better of the ultra-premium end of the market following last weekâs iPhone 6 and iPhone 6 Plus reveal, the latter of which the report states to have âthe potential to change the dynamics of the phablet marketâ.
Its larger screen size will be considered a direct challenge to Samsungâs S-series of smartphones after Apple had previously limited itself to screen sizes of circa 4.4 inches.