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5G Smartphones to Represent Over 50% of Smartphone Sales Revenue by 2025
A new study by Juniper Research has found that 5G‑compatible smartphones will account for over 50% of smartphone sales revenue by 2025; rising to $337 billion from $108 billion in 2021. It urged mobile handset vendors to ensure hardware maximises the benefits of future mobile cloud computing solutions. More about 5G smartphone sale find out below.
Mobile cloud computing enables service providers to offload intensive tasks to the cloud; freeing on-device resources for essential device processes.
The new research, 5G Smartphones: Trends, Regional Analysis & Market Forecasts 2021-2026, predicts that successful handset vendors will include radios that are able to process large bandwidths and ultra-low latency to ensure that handset users are able to use cloud computing services efficiently, whilst remaining price competitive.
Android OS Handsets to Dominate in Emerging Regions
The report anticipates that increasing the availability of lower-tier 5G smartphones is crucial to propagate 5G handset adoption in emerging markets. It predicts that by 2025, global Android smartphone prices will be 65% lower than global iOS smartphone prices. It also highlights that this lower average cost of Android devices will lead to Android dominating 5G handset markets in regions such as Latin America.
Conversely, the research expects that the enduring popularity of iOS devices in developed markets will make 40% of global 5G smartphone revenue attributable to North America and Europe by 2025.
‘Right-to-Repair’ Laws to Impact Shipments 5g Smartphone Sale
The report warns that long-term 5G smartphone shipment revenue will be limited by impending ‘right-to-repair’ legislation in North America and Europe, as more handset users choose to repair older models rather than upgrade to newer generation devices.
Research author Adam Wears explained: ‘
The effect of these laws will not be felt initially, as consumers adopt 5G smartphones to leverage the high speeds and reduced latency of 5G networks. Hardware vendors must use this opportunity to build out new device capabilities to encourage consumers to continue regularly upgrading and avoid churn to competitors.
Here are some key insights and trends in 5G smartphone sales:
1. Increased Global Adoption
- 5G smartphone sales have seen a significant rise, especially in regions with established 5G networks such as North America, Europe, and parts of Asia. In fact, many regions have already surpassed 50% market penetration, with 5G devices now more affordable and widely available than ever.
2. Growing Demand in Developing Markets
- Although some countries are still rolling out 5G infrastructure, 5G smartphone sales are growing in regions like India, Latin America, and parts of Africa. Consumers in these markets often purchase 5G-enabled devices even if their local 5G networks are still limited, in anticipation of future access.
3. Mid-Range and Affordable 5G Devices
- A shift from premium to mid-range 5G smartphones has fueled sales, with brands like Samsung, Xiaomi, and Realme offering budget-friendly models. This trend broadens the market, appealing to a more price-conscious demographic looking for affordable entry points into 5G technology.
4. Smartphone Upgrades Driven by 5G
- With increasing reliance on mobile devices for remote work, gaming, and streaming, many users are opting for 5G-enabled smartphones as part of their device upgrade cycles. Manufacturers are also phasing out 4G models, further encouraging the transition to 5G.
5. Emerging Innovations and Future Demand
- As 5G technology matures, innovations in mobile applications, AR/VR, IoT, and mobile gaming are expected to drive further demand. This opens a path for high-performance smartphones capable of leveraging 5G’s potential for low-latency applications.
The 5G smartphone market is poised for steady growth over the coming years, with falling prices, expanding networks, and growing consumer awareness around the benefits of 5G.