New Delhi Retailers are banking on 5G and 5G-enabled smartphones to boost demand ahead of the festive season as top brands prepare to launch technology-driven models and telcos roll out new services.
Most businesses expect 5G phones to make up the bulk of shipments, while some expect prices to drop 10,000 within six months, which, in turn, will boost adoption.
“About one-third or one-fourth of the current phones that ship are 5G-ready, but the price is still over. 15,000. sub The 10,000 mark will be an inflection point that will drive adoption, said Vikas Jain, co-founder of Micromax, who has now forayed into connected devices under the World of Play brand.
With the festive season approaching, top players like Xiaomi, Realme, Motorola, Oppo and OnePlus have introduced new 5G devices and more models are expected to be launched in the coming months. However, prices will remain on the upper side 15,000.
“Today a consumer upgrading their phone will certainly be doing so on a 5G device. It is more or less a mid-range of all brands,” said Navkendar Singh, Associate Vice President of Device Research at IDC India, South Asia and ANZ. -Tier is becoming a hygiene factor in the phone segment. He added that brands may well have to offer discounts and incentive schemes to boost demand this festive season.
According to IDC, 11 million 5G smartphones were shipped in India between January 2022 and June 2022, with an average selling price of $377 or approx. 30,000 It said around 51 million 5G smartphones have been shipped from 2020 to 1H22, and they are expected to cross 50% market share by 2023. However, there are few models of 5G phones in the mass market.
This may change with the new launch. For example, Realme launched the Realme 9i 5G, starting with 14,999 for its 4GB RAM and 64GB storage model that went on sale on Wednesday. Earlier this month, Motorola launched the Moto G62 5G 16,249.
Analysts at Frost & Sullivan said in a recent report that manufacturers providing high-spec devices at low prices will be a major reason for the average replacement cycle of smart smartphones to drop from 24-27 months to 20 months.
On the service side, Vodafone Idea on Wednesday sent a message to its users in Delhi NCR informing them about the “soon” launch of 5G network services on its network.
Competitors Reliance Jio and Bharti Airtel have indicated a launch within this month.
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