In 2023, the smartphone market in India underwent a notable transformation, with MediaTek-powered smartphones gaining widespread popularity and achieving a substantial surge in sales. Conversely, US-based Qualcomm witnessed a decline in its market share during this period. According to market research firm IDC’s latest report, MediaTek-powered smartphones comprised 50 per cent of shipments in the Indian smartphone market in 2023, while Qualcomm’s share dwindled to 25 per cent, a new report said on Tuesday.
According to the International Data Corporation’s (IDC) Worldwide Quarterly Mobile Phone Tracker, India shipped 146 million smartphones last year, experiencing a modest 1 per cent year-over-year growth. Nevertheless, the latter half of the year witnessed a remarkable 11 per cent growth, effectively compensating for the earlier decline.
During the latter half of the year, there was a notable resurgence, characterised by a strong 11 per cent growth, offsetting a steep 10 per cent decline experienced in the initial half of the year. Specifically, the fourth quarter of 2023 witnessed a 26 per cent year-on-year growth, with smartphone shipments reaching 37 million units. This surge was predominantly driven by heightened demand subsequent to the release of numerous new smartphone models.
Despite vendors’ efforts, consumer demand continued to be constrained, resulting in excess inventory levels. However, the average selling price (ASP) of smartphones soared to a record high of $255, marking a 14 cent growth increase from the previous year. This surge in ASP was propelled by a significant rise in the premium segment, which constituted 10 cent growth of the market in 2023, compared to 6 cent growth in 2022. Moreover, the rapid adoption of 5G technology contributed to a record 55 cent growth share of 5G shipments.
The analysis of price segments provided intriguing insights into consumer preferences. Although there was growth in the entry-level segment (below $100), shipments declined in the mass budget segment ($100 to $200). Brands such as Vivo, Realme and Samsung emerged as leaders in this segment, collectively representing 53 per cent of shipments.
