At a time when the Nigerian Senate is putting pressure on the Nigerian Communications Communications ( NCC) to slow down its bid to join the 5G wave, a global report has shown that the demand for 5G devices is increasing.
Research company IDC said in a recent study that smartphone shipments at the end of 2021r will hit a six-year high, amounting to 1.38 billion units, with the segment driven by consumer demand for 5G devices which are gradually reducing in price.
In a statement, IDC forecast a 7.7 percent year-on-year shipments rise, the highest level of annual growth since 2015. This trend is tipped to continue into 2022, with a growth of 3.8 percent to 1.43 billion units.
IDC predicts shipments of 5G models will increase by nearly 130 percent in 2021, with almost all regions outside of China clocking triple-digit growth.
Ryan Reith, program VP with IDC’s Worldwide Mobile Device Tracker, noted a strong supply-side push towards 5G, with falling prices as a result.
The company expects Android ASPs to decline 12 percent to $456 this year “and then below $400 in 2022”, Reith stated, adding Apple “will continue to feel the price pressure”.
Stronger demand for low- and mid-range 4G models in emerging markets is also cited as a driver of 2021 shipments.
IDC added it did not expect the smartphone market to be as impacted by a global chip shortage as other industries including automotive, PC, and various consumer technology categories.
“Smartphones are seeing competition for consumer spending from adjacent markets like PCs, tablets, TVs, and smart home devices, yet that hasn’t slowed the market’s path to recovery,” added Reith.
Recently, the Nigerian senate committee that investigated plans by the NCC to license 5G network operators concluded that there was a need for the federal government to slow down the introduction of 5G while taking time to watch the global trends.
Meanwhile, reports across the globe indicate countries are currently lining up to deploy 5G networks, a development that clearly shows that deployment of 5G is the right path to flow at the moment.
