Thanks to recent research by the Global Smartphone Shipment Forecast, we’re expecting to see a decline of nearly $1.36 billion units this year.
This means the total number of smartphone units that were shipped could fall 3% YOY as mentioned by the Counterpoint Research recently.
But the news isn’t too bad as the forecast does predict some major improvements to take place this year when compared to statistics of the previous year. However, we’re still hearing some news about shortages of major parts and how the crisis is yet to be resolved.
Macroeconomically, we can’t help but mention how there’s an alarm that says the recovery period will be very slow and the hopes in this aspect are falling too.
The news comes as many who once relied on China are now losing hope as the country enters its own period of recession, not to mention the ongoing crisis taking place in Ukraine, thanks to Russia.
Therefore, that’s one of the major reasons why we’re going to see the global market contract for smartphones go on further with its decline.
If you’re wondering why China is entering this phase of economic recession, well, it’s due to the country having a zero-tolerance maneuver in terms of the surge in COVID-19 cases, and they’re not willing to risk it all with the sudden resurgence. And if that means the economy suffering from constant lockdowns, then so be it.
But it’s going to cause a major chain reaction in other nations as well because the closure or temporary halt of factory operations means those linked with the nation will suffer too.
Meanwhile, on a global scale, we’re seeing more and more consumers speak in detail about how there is so much uncertainty because of inflation and the ongoing Ukrainian war with Russia.
Lastly, let’s not forget about the US dollar rising and increasing in strength, closely followed by a rise in the American interest rates too. Therefore, new economies are now going to face and fight this inflation too.
So, what impact will it have in general on the smartphone market of today? Well, as pointed out by the Vice President for Counterpoint Research, there’s going to be a slow by steady flow from featured phones towards smartphones and then the good old 5G phones too.
In general, we will soon see healthy growth for the 5G phone market but once these stats hit the consumer demand, they could serve as major risks for today’s smartphone industry.
Read next: Young People Prefer Mobile Payment Apps Over Traditional Banking Methods, Confirms New Study
This means the total number of smartphone units that were shipped could fall 3% YOY as mentioned by the Counterpoint Research recently.
But the news isn’t too bad as the forecast does predict some major improvements to take place this year when compared to statistics of the previous year. However, we’re still hearing some news about shortages of major parts and how the crisis is yet to be resolved.
Macroeconomically, we can’t help but mention how there’s an alarm that says the recovery period will be very slow and the hopes in this aspect are falling too.
The news comes as many who once relied on China are now losing hope as the country enters its own period of recession, not to mention the ongoing crisis taking place in Ukraine, thanks to Russia.
Therefore, that’s one of the major reasons why we’re going to see the global market contract for smartphones go on further with its decline.
If you’re wondering why China is entering this phase of economic recession, well, it’s due to the country having a zero-tolerance maneuver in terms of the surge in COVID-19 cases, and they’re not willing to risk it all with the sudden resurgence. And if that means the economy suffering from constant lockdowns, then so be it.
But it’s going to cause a major chain reaction in other nations as well because the closure or temporary halt of factory operations means those linked with the nation will suffer too.
Meanwhile, on a global scale, we’re seeing more and more consumers speak in detail about how there is so much uncertainty because of inflation and the ongoing Ukrainian war with Russia.
Lastly, let’s not forget about the US dollar rising and increasing in strength, closely followed by a rise in the American interest rates too. Therefore, new economies are now going to face and fight this inflation too.
So, what impact will it have in general on the smartphone market of today? Well, as pointed out by the Vice President for Counterpoint Research, there’s going to be a slow by steady flow from featured phones towards smartphones and then the good old 5G phones too.
In general, we will soon see healthy growth for the 5G phone market but once these stats hit the consumer demand, they could serve as major risks for today’s smartphone industry.
Read next: Young People Prefer Mobile Payment Apps Over Traditional Banking Methods, Confirms New Study
