High inflation affects smartphone sales forecasts

Analyst firm IDC has again slashed worldwide smartphone sales projections for 2022 on record-breaking inflation, geopolitical tensions, and other macroeconomic challenges, tipping a 6.5 per cent year-on-year fall in shipments to 1.27 billion units.

Its latest figures compare to a previously forecast 3.5 per cent fall in shipments to 1.31 billion units. Earlier, IDC had expected 1.6 per cent growth in shipments on 2021 numbers.

The analyst firm still expects the market to recover in 2023 with 5.2 per cent year-on-year growth. It is also forecasting a five-year compound annual growth rate (CAGR) of 1.4 per cent.

IDC expects global shipments of 5G devices to grow 23.6 per cent year-on-year in 2022 and account for 54 per cent of all shipments. It tips 5G to reach a volume share of 79 per cent in 2026.

Apple iOS smartphone shipments are forecast to rise 0.5 per cent this year. In contrast, Android-based devices are expected to fall 8 per cent this year, then increase by 6.2 per cent in 2023.

Source: techgh24.com