Report: Smartphone sales set to triple by 2019

Despite the recent slowing down of smartphone sales, there’s still a lot of growth happening at the low end of the market and the number of smartphone devices is set to triple in the next five years.

The latest report from telecommunications company Ericsson claims the smartphone revolution has just begun. The company is predicting the smartphone and tablet market will nearly triple in the next five years.

High-end markets like the US and Western Europe have been slowing down lately, mainly due to penetration rates reaching 80-90% of the population. However, there are still billions of people in the world living in developing countries such as India, China, South America and Africa who have yet to jump on the smartphone bandwagon.

Ericsson predicts most of the growth seen by 2019 will come from the Asia/Pacific market. That part of the world accounts for 988 million smartphone subscriptions right now, but that number is expected to rise to more than 3 billion before the end of this decade.

Developed markets will also contribute to this increase in smartphone sales, mainly by purchasing secondary subscriptions, with people owning more than one smartphone or pairing up such devices with tablets, notebooks and other mobile broadband services.

As you’d expect with such a sharp increase in smartphone sales, data traffic is also set to go up by a record amount. If this report is correct, we’re likely to see a tenfold increase in mobile traffic in the next five years. LTE is bound to play a huge role in the near future while LTE-A and 5G are bound to be our driving infrastructure for the long term.

It’s clear why so many companies, like Microsoft and Samsung, are betting on the low-end. With so much predicted growth, owning a part of this ever expanding pie can mean the difference between a market leader and struggling player.

Source and Images: Ericsson Mobility Report

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17 Comments

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If companies wwre they would make three models, low, mid and high end phones. I hate how they make 20 different phones with slightly different options part of it is carriers and other is countries but phone makers could just change it.

The problem with Apple they have two models, high end and mid end with high end price.

ACTIONpack said,

The problem with Apple they have two models, high end and mid end with high end price.

What's the problem?

Sure... Apple only has two models... but they sell a ton of them.

A brilliant business plan! You simply can't expect it with any other sort of thing - a house, a car, an oven. Or a personal computer, even - that's why the latter are not selling - they've become too reliable and lost their appeal of endless loop of innovation. Gahd, the world is asking for it.

Are phones really that unreliable? I've only ever brought new phones because I'm a stupid idiot with too much money, and from what I see, that seems to be the case for most people.

virtorio said,
Are phones really that unreliable? I've only ever brought new phones because I'm a stupid idiot with too much money, and from what I see, that seems to be the case for most people.

In the UK at least its down to upgrades becoming available on your contract (most are 24 month with free phone). So when its time you get a new phone for free (obviously not free, you pay your monthly fee but most see it as free as there is no one of payment and the contract stays the same price whether you get a new phone or not).

Apple really needs to tap into the low end market. I can only image a new iPhone selling for $50-$100 outright. They along with Android devices would eat the competition alive.

-adrian- said,
Well the question is who is going to buy a 700$ IPhone when they loose all there prestige premium brand image

They just have to make it clear that for 100$, your not getting do something premium.
Lot of brand are offering different quality for different price. It's just stupid to refuse a market, because you are supposed to only offer the best.

Well... maybe they don't want to be in that market. why is Bentely not producing a 20K car for the masses? because they don't want to. If you want to be a premium brand(yes apple want to be as seen on all their markets) than you need to stay premium.

JHBrown said,
Apple really needs to tap into the low end market.

Apple sells more than enough phones already. They are the #2 smartphone manufacturer in the world... selling 3 times as many smartphones as their next competitor. (not that it's a contest or anything)

I never understood the race to sell "moar things"

Apple only sells rather expensive phones... and they sell plenty of them. Why is that not good enough?

-adrian- said,
Well... maybe they don't want to be in that market. why is Bentely not producing a 20K car for the masses? because they don't want to. If you want to be a premium brand(yes apple want to be as seen on all their markets) than you need to stay premium.

Well, even if iphone are expensive, they are very common. I almost find there's lack of originality from iphone owners . You can't say same from Bentley owners.
Also there is competition from brand like Samsung that offer both premium and not premium.

Michael Scrip said,

Apple sells more than enough phones already. They are the #2 smartphone manufacturer in the world... selling 3 times as many smartphones as their next competitor. (not that it's a contest or anything)

I never understood the race to sell "moar things"

Apple only sells rather expensive phones... and they sell plenty of them. Why is that not good enough?

I agree with everything you just stated. My original post was geared toward those who believe Apple will drop off the face of the planet for not catering to the low end market.

JHBrown said,
I agree with everything you just stated. My original post was geared toward those who believe Apple will drop off the face of the planet for not catering to the low end market.

Gotcha. I think you and I are on the same page then.

To anyone who thinks Apple will drop off the face of the Earth... they will be sorely disappointed.
There are quite a few companies who would go out of business long before Apple does.

Apple could sell ZERO iPhones for the next 10 years and they still wouldn't be in trouble.

Hell... there are companies today who don't make any money... and they're still around.