The global smartphone market share of India is estimated to reach at 13.5% with 180 million units by 2019 which is 7.6% at present, as per a study conducted by Assocham-KPMG. The study also mentioned that the cheaper mobile data packages and budget smartphone availabilities will be the reason behind such acceleration.
“Thanks to the aggressive pricing of mobile data packages combined with the affordable smartphone options, India is expected to shoot up a total number of 180 million smartphone devices by 2019 with 13.5% of global smartphone market share which is at 7.6% at present.”, said Assocham.
Indian Handset Manufacturing Industry
“The Indian handset manufacturing companies have witnessed a miraculous growth over the past five years. In FY2016, 11 crore mobile phones which worth about Rs. 54,000 crore was been manufactured in India showing a year-on-year growth of 83% and a growth of 186% in terms of volume and value, respectively.”, the statement said. More people have started using smartphones with the beginning of affordable smartphone segment which ranges from price of Rs. 3,000 to Rs. 10,000. Most of the affordable smartphones are manufactured by local manufacturers.
In 2015, out of the 235 million handsets that were shipped globally, 40% were smartphones. And it is expected to constitute 60% shipments of the entire mobile handset sales by 2020. When compared with the global growth, India grew with a healthy 23% annually in smartphone shipment in the first quarter of 2016.
Out of the total eCommerce sales in 2014, 41% of sale accounted from mobile transactions.
The study further added that, the urban mobile penetration level is getting saturated and hence the industry is shifting its focus to rural India for sustained growth. The teledensity in urban areas of India was 153.93 as against the 50.76 for rural areas. The rural population using mobile phones as of May 2015 is raised at 38% which was 22% in 2010.
India holds a second largest share of global mobile market with more than a billion subscribers as of February 2016. There are 608.4 million subscribers in urban areas and 443.5 million subscribers in rural India.
