High-end device, low-end price: the race to the middle
With so much going on in the world of Android, it’s often hard to sleep at night. Lovers of mobile tech around the world, with visions of even better devices, dancing in their heads. And why not? There is not a single other industry that is as intensely competitive, that yields massively improved technology each and every year.
Anyway, I digress.
Cannacord Genuity’s Mike Walkey recently released some findings that led him to alter up his outlook for the 2013. Whereas he had previously estimated that 2013 would yield 979 million units, he now suggests that there will be around 959 million smartphones sold in 2013. For 2014, Walkey cut his estimates from 1.29 billion to 1.25 billion.
The S4 effect
Samsung’s S4 took three of the four top spots at tier one carriers like Verizon, Sprint, and T-Mobile. For AT&T, the iPhone 5 continues to be the bastion of best selling glory, most likely to the carriers chagrin due to the exorbitant costs associated with carrying it.
Samsung and Apple maintained top share of the U.S. smartphone market. In fact, our carrier store surveys indicated the Samsung GS4 was the top-selling smartphone at Verizon/Sprint/T-Mobile and #2 selling smartphone at AT&T behind the iPhone 5. Other top selling models included the iPhone 5 at all four tier-1 carriers, the HTC One at AT&T/Sprint/T-Mobile, and the Galaxy S III at Verizon.
If you’re reading this, and I’m sure you are, then you’re likely on the very bleeding edge. The Galaxy S4 is likely old news for you at this point. What’s next? Sony’s Honami? Samsung’s Galaxy Note 3? ZTE’s Tegra 4 beast? LG’s insanely thinly bezelled G2?
Our surveys indicated more affordable sub $400 Samsung Galaxy S IIIs and iPhone 4s continued to sell better than our expectations, while the iPhone 5 and Galaxy S4 sold below our expectations.
While we all celebrate thinner bezels, higher pixel densities, 4k video recording, HDR video and picture capture, more robust and sizeable batteries, there is a huge, like insanely huge market for devices that pack great technology and hit a price point that more consumers find easier on the wallet.
It’s a very large world out there. Indian, Chinese and African consumers alone comprise nearly 50% of the global population. Thankfully, what’s happening in the US, Canada and Europe is a harbinger of things to come. The fact is simple: smartphones are, more or less, good enough. The average consumer will never be able to distinguish anything beyond a 1080p display, and these will, by simple consequence of economies of scale, get cheaper and cheaper to produce. The same goes for SoC’s, which Qualcomm is churning out at a record rate.
At the end of the day, consumers vote with their dollars. Picture this – you’re a Mom of three kids, and they are all screaming for new devices. You go into your carriers’ store, and you see devices that, for all …read more
Via: Android Authority