In 2012, the number of smartphone subscribers worldwide passed the 1 billion mark, primarily due to adoption in North America and Europe. But the focus of the smartphone market is now shifting toward Asia Pacific, the Middle East and Africa (MEA), and Latin America. These three regions, which are home to 84% of the world’s population, will contribute a significant proportion of the next 2.5 billion subscribers, which Forrester believes will happen by 2019. According to our recently published Forrester Research World Mobile and Smartphone Adoption Forecast, 2014 to 2019 (Global), Asia Pacific is the fastest-growing region in terms of subscribers with a CAGR of 14%, followed by MEA, and Latin America. Some of the findings from the forecast:
Low-cost smartphones are turning feature phone subscribers into smartphone subscribers. Chinese companies such as iocean, JiaYu, Meizu, Xiaomi, and Zopo and Indian players like Karbon and Micromax are flooding the market with sub-$200 Android-based smartphones. Declining smartphone prices and shrinking feature phone product lines have contributed to a steep rise in smartphone subscriptions: More than 46% of mobile subscribers owned a smartphone in 2013, compared with 9% in 2009. By 2019, we expect that 85% of all mobile subscribers will have smartphones.
The focus is shifting to India. India is the fastest-growing market for smartphones; as such, it’s attracting most of the focus from vendors. Gionee, Huawei, Konka, Lenovo, Xiaomi, and ZTE have recently entered the market, and Google launched its Android One program in partnership with Indian companies to provide sub-$100 Android phones.