Riding on the Artificial Intelligence (AI)-enabled features, the global smartphone market is expected to grow by 64.05 million units during 2020-2024, a new report said on Wednesday.
According to London-based market research firm Technavio, the consumer’s shift to online purchases will have a positive impact on the market and contribute to its growth significantly over the forecast period.
“Online smartphone sales contributed to around 50 per cent of the total sales in India as of April 2019 because many major e-commerce vendors such as Amazon and Flipkart are promoting multiple brands of smartphones,” said the report.
In addition, online distribution channel requires limited investments and eliminates additional costs for the seller as well when compared to the offline channel.
The online sales volume of smartphones is increasing due to factors such as wide assortment of products, convenience, and the availability of products at special prices and discounts.
“This is expected to further increase the variety and number of products available over the online channel. All these factors are expected to showcase a positive outlook for the market over the forecast period,” the report added.
AI is gaining traction in the smartphone industry as it has transformed the way consumers interact with technology.
“AI facilitates the introduction of features such as augmented reality (AR), facial recognition, device management, emotion recognition, user authentication, and more,” said the report.
Vendors such as Apple, Huawei, and Samsung are increasingly investing in R&D to provide best user experience using AI.
“AI-enabled smartphones consume less power to perform multiple operations per second. Thus, technological advances in AI and its integration in smartphones, will drive sales leading to the growth of the smartphone market during the forecast period,” the report added.