5G smartphone penetration to reach tipping point in 2025 | Mobile | News | Rapid TV News
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5G compatible devices will account for over half of smartphone sales revenue by 2025, rising to $337 billion from $108 billion in 2021 according to a study from Juniper Research.
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The new 5G Smartphones: Trends, Regional Analysis & Market Forecasts 2021-2026 report anticipates that increasing the availability of lower-tier 5G smartphones is a key driving force that has been and will be crucial to propagate 5G handset adoption in emerging markets. The study predicts that successful handset vendors will be those that in their products include radios that are able to process large bandwidths and ultra-low latency to ensure that handset users are able to use cloud computing services efficiently, whilst remaining price competitive.

Juniper predicts that by 2025, global Android smartphone prices will be 65% lower than global iOS smartphone prices. It also believes that this lower average cost of Android devices will lead to Android dominating 5G handset markets in regions such as Latin America. By contrast, the research expects that the enduring popularity of iOS devices in developed markets will make 40% of global 5G smartphone revenue attributable to North America and Europe by 2025.

In a call to action, the study urged mobile handset vendors to ensure hardware maximises the benefits of future mobile cloud computing solutions. It also cautioned that long-term 5G smartphone shipment revenue will be limited by impending ‘right-to-repair’ legislation in North America and Europe, as more handset users choose to repair older models rather than upgrading to newer generation devices.

“The effect of these [market forces] will not be felt initially, as consumers adopt 5G smartphones to leverage the high speeds and reduced latency of 5G networks,” explained 5G Smartphones: Trends, Regional Analysis & Market Forecasts 2021-2026 report author Adam Wears. “Hardware vendors must use this opportunity to build out new device capabilities to encourage consumers to continue regularly upgrading and avoid churn to competitors.”