Smartphone Market Rebound: Shipments to Grow 5% in 2024, GenAI Phones to Drive New Growth

Smartphone Market Rebound: Shipments to Grow 5% in 2024, GenAI Phones to Drive New GrowthMarket research firm Counterpoint Research recently published a blog post predicting that global smartphone shipments will reach 1.23 billion units in 2024, representing a 5% year-over-year increase and ending a two-year decline

Smartphone Market Rebound: Shipments to Grow 5% in 2024, GenAI Phones to Drive New Growth

Market research firm Counterpoint Research recently published a blog post predicting that global smartphone shipments will reach 1.23 billion units in 2024, representing a 5% year-over-year increase and ending a two-year decline. Liz Lee, Vice President of the firm, said that in the long term, more smartphone users are expected to enter the market, leading to steady overall installation growth.

The forecast report indicates that emerging markets will be the main driver of smartphone market growth, including the Middle East and Africa (MEA), Caribbean and Latin America (CALA), India, and Southeast Asia. Additionally, the North American and European markets are also expected to see growth, with Europe currently being primarily a replacement market. Major developed markets like China, Japan, and South Korea will also drive long-term growth in phone shipments with the increasing adoption of high-value smartphones.

Harmeet Singh Walia, Senior Analyst at Counterpoint Research, stated that the share of smartphones with GenAI capabilities is expected to rise from less than one-fifth in 2024 to over half by 2028. The upcoming Apple Intelligence-powered models from Apple will accelerate the adoption of GenAI devices across the smartphone market. This could also create an opportunity for Apple to potentially become the top performer in annual shipments as early as 2025.

The emergence of GenAI capabilities will inject new growth momentum into the smartphone market. As AI technology continues to advance, GenAI features will deliver smarter and more convenient experiences for users, such as automatic content generation, smart assistants, and personalized recommendations. In the coming years, GenAI capabilities are expected to become standard on smartphones, driving the market into a new stage of development.

Counterpoint Research's projection suggests that 2024 will be a year of recovery for the smartphone market. Driven by emerging markets and GenAI features, the smartphone market will enter a new era of growth opportunities. In the future, the smartphone market will evolve towards greater intelligence and personalization, offering more surprises and conveniences for users.