Global smartphone shipments are expected to decline by 6.5% this year due to inflation, geopolitical tensions and other macroeconomic challenges that have significantly reduced consumer demand.
In the statement made by the US-based market research company International Data Corporation (IDC), it was stated that smartphone shipments are expected to decrease by 6.5% to 1.27 billion units in 2022.
The statement said the decline was driven by record-breaking inflation, geopolitical tensions and other macroeconomic challenges that have significantly reduced consumer demand.
Pointing out that the decline is expected to be short-term, it was noted in the statement that the market is expected to recover in 2023 with an annual growth of 5.2%.
Nabila Popal, Research Director of IDC, whose views are included in the statement, stated that the supply constraints that have dragged down the market since last year have eased and the industry has shifted to a demand-constrained market.
Popal said high inventory and low demand with no signs of a sudden recovery have caused original equipment manufacturers to panic and massively halt orders for 2022.
Pointing out that the average sales prices increased by 10% in the second quarter, Popal noted that the prices are expected to increase by 6.3% throughout the year.
Source: Trthaber / Translated by Irem Yildiz