In India, 5G smartphones contributed over 16 percent of total sales in 2021. The figure has increased from 3 percent, as seen in 2020. Moreover, the company expects that in 2022, 5G sales will rise to around 40 percent in This market. If the average price of a 5G phone is hovering around the 12,000 rupee price bracket, the sales number will likely cross the 50 percent mark in the fourth quarter of 2022.
The analyst believes that Apple has a big role in this number thanks to the new iPhones. Apple switched to 5G phones in October 2022 with the iPhone 12 series, resulting in a natural increase in sales of 5G smartphones in North America and Western Europe. iPhone buyers – who have been keeping old iPhones for years and are yearning for a new one are driving this demand. Many people take a four-year replacement cycle for iPhones — the industry standard.
Affordable 5G smartphones appear
Another major factor, according to the analyst, is the budget 5G processors available in India at less than Rs 20,000. MediaTek and Qualcomm offer affordable chipsets in the mid-to-high price segment from $250 – $400 (about Rs 20,000 – Rs 32,000). The price of these chips has now come down even further, at $150-$250 (about Rs 12,000-Rs 20,000), which contributed to a fifth of 5G sales in January.
“Asia Pacific, Middle East and Latin America are the next focus areas for OEMs to increase sales of 5G smartphones. 5G phones available in the sub-$150 price bracket (around Rs 12,000) are the perfect fit for these areas, which are currently dominated by 4G devices. The low-cost 5G SoC chip is priced at more than $20 (about Rs 1,500) at the moment. Once it hits under $20 (around Rs 1,500), we’ll start seeing 5G smartphones in the budget segment.The analyst said in the report.