The Farmers Gazette | Page 51

Cheap devices and African market to power global smartphone growth By DUNCAN ALFREDS G lobal smartphone shipments are losing steam but lower priced devices and the African market are likely to be an engine of growth, says an international research organisation. The International Data Corporation (IDC) recently forecast that global smartphone growth will hit 9.8% in 2015 — the segment’s first ever single-digit growth. The IDC attributed the slowdown to declining demand in China, but the research organisation has argued that lower-priced smartphones are expected to drive growth in Africa and other parts of the globe. "The smartphone growth will come from the low-priced smartphones (under $150)," said Joseph Hlongwane, an IDC SA research analyst. Further IDC data showed that shipments to the Middle East and Africa are set to grow at 50%, surpassing those to India and Indonesia. "With the other regions slowing down, Africa has become very crucial to manufacturers. Africa’s smartphone market is expected to grow — especially the low priced smartphone segment. However, the key for success in Africa will be to launch the right product at the right price point," Mr Hlongwane said. The IDC said that Android will marginally increase its global market share from 81% to 82%, while Apple’s iOS operating system for iPhones should remain flat at about 14%. Microsoft would see a 10.2% decline in its global market share despite investments in its Windows operating system. Meanwhile, Chinese manufactures such as ZTE and Xiaomi have already actively targeted the lower price market segment in Africa. "I think that the diversity in Android is the driver of its success. The Android Operating System offers the consumer a variety of handsets brands and models to choose from, and a broad range of prices. Due to these reasons, I see Android OS dominating the smartphone market for many years to come," said Mr Hlongwane. FARMERS GAZETTE November 2015 49