Global Smartphone Shipment Forecast
Research firm IDC has raised its forecast for global smartphone shipments in 2024, projecting a growth rate of 5.8% to reach 1.23 billion units. This upward revision reflects optimism surrounding the adoption of Generative AI (GenAI) features in smartphones, which are attracting increased consumer interest.
Why This Matters
In the current economic climate, where consumers are cautious with spending, this forecast indicates that AI enhancements in smartphones could stimulate demand. Key markets such as the U.S. and China, which are showing signs of recovery, are expected to drive this growth.
Expert Insights
Anthony Scarsella, research director at IDC, emphasized that while GenAI smartphones are new, their integration into premium models will help distinguish them in a competitive market. Such features provide practical benefits, encouraging consumers to upgrade.
Market Context
Major players like Apple and Google are at the forefront of this trend. Apple is poised to unveil new iPhones at its upcoming fall event, incorporating "Apple Intelligence", a suite of AI features, to rejuvenate sales. Similarly, Google's latest Pixel smartphones boast extensive AI capabilities.
Growth Projections
IDC anticipates a 344% surge in GenAI smartphone shipments, expecting them to claim 18% of the market by the end of 2024. Additionally, Apple's iOS is forecast to grow by 4% annually in 2025, fueled by advancements in AI technology.
