India Surpasses US as 2nd Largest 5G Smartphone Market

The Rising 5G Smartphone Market in India

The 5G smartphone market has experienced remarkable growth in India, making it the second largest market for these devices globally, surpassing the United States. According to recent analyses, the first half of this year saw a 60 percent increase in shipments of 5G smartphones compared to the same period last year. This surge is driven by multiple smartphone manufacturers that have launched a variety of new handsets catering to diverse consumer needs.

Significant Growth Statistics

A report from Counterpoint Research indicates that worldwide shipments of 5G smartphones rose by 20 percent year-on-year during the first half of this year. Currently, the share of 5G devices in total smartphone shipments has surpassed 50 percent. Prachir Singh, a senior analyst at Counterpoint, attributes this growth primarily to strong sales in the budget segment from brands like Xiaomi and Vivo. He notes that consumers in emerging markets are increasingly viewing 5G smartphones as a desirable upgrade.

Market Share Breakdown

China leads the global market with approximately 32 percent share of international shipments of 5G smartphones, followed by India at roughly 13 percent. The United States holds more than 25 percent of the market, with Apple being a prominent name in this segment. The company’s recent releases, particularly the iPhone 14 and iPhone 15 series, have received positive feedback and support from customers, showcasing the demand for high-quality 5G devices.

Overall Smartphone Market Trends

Overall, smartphone shipments in India grew by 7.2 percent year-on-year, reaching about 69 million units in the first half of the current year. The second quarter alone saw around 35 million units shipped, with an increase of about 3.2 percent. However, the entry-level smartphone segment (priced under ₹8,400) experienced a decline of around 36 percent, bringing its market share down from 22 percent in the previous year to approximately 14 percent now.

Competitive Landscape

Xiaomi continues to dominate the entry-level market, with Poco and Realme following closely. Interestingly, the budget segment (priced between ₹8,400 to ₹16,800) saw a rise, with an increase of about 8 percent in shipments, further indicating a shift in consumer preference towards more affordable yet feature-rich devices.

Market Insights Table

The landscape of the smartphone market in India is evolving rapidly, with 5G technology playing a crucial role in shaping consumer choices. As various brands continue to innovate and introduce smartphones that cater to both budget and premium segments, the future seems promising for tech enthusiasts and casual users alike.