According to a report from Counterpoint, the number of 5G smartphones shipped will pass 100 million in the second quarter (Q2) of 2023 and pass 4G smartphone shipments in India by the end of the following year. India mobile phone shipments declined 15% YoY in Q3 2022, as previously reported by Counterpoint.
However, India’s overall smartphone shipments are expected to fall this year due to component supply challenges and macroeconomic concerns, but 5G will continue to drive smartphone demand in 2023, according to Counterpoint Research.
In India, 5G data speeds are expected to be about ten times faster than 4G. This network will be important for developing technologies like self-driving cars and artificial intelligence.
Due to their growing presence in lower price bands (under Rs 20,000) and the development of 5G networks, 5G smartphone shipments are estimated to increase by 81% year over year in 2022. But this area hasn’t grown as fast as it could because of problems getting parts, inflation, geopolitical conflicts, and other big-picture economic problems that have slowed the launch of 5G devices in the budget segment.
According to research done by Counterpoint, the share of 5G handsets in the lowest price band (less than 20,000 rupees, which is equal to $241.55) is expected to grow from 4% in 2018 to 30% in 2023. The research also said that Qualcomm and MediaTek’s lower-cost 5G chipsets have made it possible for OEMs to release more 5G devices in the lower price range. The fact that 5G services are now available to the public has also helped to boost demand for them.
As per the reports, although OEMs have introduced more 5G handsets in lower price bands, they have done so by removing or downgrading other critical features such as the display or rapid charging in order to mitigate the impact of rising component costs. In addition, the report stated that 5G has been and will likely continue to be a driving force for smartphone growth through 2023.
According to the report by Counterpoint Research,
We expect these constraints to ease by the end of 2023, leading to the mass adoption of 5G. Better availability of networks in major areas will also facilitate 5G smartphone growth in 2023, which is estimated to be 62 per cent YoY.