Even though India is yet to see the commercial deployment of 5G network - which is expected to take place towards the end of 2022 or in the early 2023 consumers are already getting their hands on 5G smartphones. This is reflected in a recent report by market research firm CMR that says 5G smartphones grew more than 600 per cent in India in 2021 and top five manufacturers accounted for 72 per cent share in the domestic 5G market last year. The 5G smartphone shipments may reach 64 million in India amid spectrum auction later this year, as per CMR's India Mobile Handset Market Review Report for Q4 2021.
With 5G auction in late 2022 and roll-out thereafter, we foresee greater momentum for 5G smartphone shipments. Smartphone OEMs will prioritize 5G, by leveraging favourable supply-side dynamics, and will continue to drive 5G, especially at lower price tiers, said Anand Priya Singh, Analyst - Industry Intelligence Group, CMR. After two years of pandemic, smartphone market players will be better prepared to navigate supply constraints in the new never normal, Singh added.
Meanwhile, CMR estimates point to a potential 15-18 per cent YoY growth in overall smartphone shipments in 2022. The first half will continue to see supplyside constraints, with gradual easing in the second half of the year. Last year, total smartphone shipments touched an all-time high of 166 million units, growing 11 per cent (on-year), with $37 billion in revenue.
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