iPhones to capture 40 per cent of smartphone market value next year, research shows
Sales of iPhones will bring in over $200bn in 2022, accounting for nearly 40 per cent of the total smartphone market.
A new report from Juniper Research shows that iPhones will dominate the market despite representing less than 20 per cent of devices sold next year.
Apple has managed to consistently convince users to buy higher-priced models through curation of a strong hardware and software ecosystem.
Other vendors have only limited opportunities to do this in the current market, according to the research.
As a result, Apple’s average selling price will rise in the coming years, while Android devices will decline unless they can leverage new technologies like 5G.
The report says that Android will struggle to compete on a features basis, and that investing in premium features such as advances in camera technology will not appeal widely enough to compete with Apple.
“Feature diversification alone is not enough for lasting success in the crowded smartphone market,” said research co-author Nick Hunt.
“Apple and Samsung have succeeded in fostering brand loyalty, which smaller vendors have struggled with, despite many introducing new capabilities.
“These players need to pair strong features with strong branding to have sustained success.”
The research also notes that the decline in Huawei’s fortunes, thanks to the US trade ban, will not restore older brands to prominence.
Instead, it will allow other Chinese brands such as BBK to expand to the third largest player next year.
In the meantime, Huawei’s market share will fall to just over nine per cent in 2020 from 11 per cent in 2019, according to the report.