Mobile Industry took its turn during early 1997 when the first GSM sim was introduced in the market. Because of GSM sim cards, it was easier to connect with people in remote areas at a cheap cost. People started buying mobile phones which turned out to be a great success for the mobile industry.
According to research, 1.38 billion mobile phones were sold worldwide every year. The industry took a pace after companies launching new smartphones which were multi-functional in their use. Presently the youth is too attracted towards new technology ensuring that they are as updated as possible.
But the major turning point for this industry was the year 2020 in the whole last decade. Here is why the mobile industry is booming every year and especially in 2020:
5G is the 5th generation mobile network introduced in the world to set a new global wireless standard. The wireless technology is meant to deliver hi-speed GBPS data, increased availability of the network, and a uniform experience to its users.
This speed is achieved by using higher frequency radio waves in addition to low and medium band frequencies used in the 4G Network (the 4th generation network).
The latest smartphones in our mobile industry are launched with 5G band compatibility which helps to increase the speed of network and internet and also makes the work easier. The next target to achieve better growth in technology is by speeding up which is possible by 5G connectivity.
2020 is the year where most effects of the coronavirus pandemic were seen. A worldwide lockdown was going on and physical connectivity was lost, the only way to carry out the routine activities and tasks was through the help of the internet and mobile phones.
Schools and offices were working on their systems virtually. The mobile industry got the benefit as everyone required a smartphone to carry out their routine activities and scheduled things through the medium of applications present in the smartphone.
Also, the government was supporting the virtual method as there was a huge rise in the number of Covid patients and helped many people by providing them with smartphones and gadgets at very reasonable costs.
Mobile manufacturers started focusing on budget smartphones that can be easily purchased by a middle-class person. Mobile companies covered all the losses they had incurred and made huge profits.
One in every four people uses mobile banking services all over the world. Mobile banking provides the convenience and quickness of completing financial transactions via mobile applications and websites which is very feasible for their customers. Thus, banks are convincing their customers to shift to mobile banking which is directly beneficial to the mobile industry as it increases the usage of smartphones.
Also, many people prefer to keep two separate mobile phones, one for personal use and another one for business, financial, and banking purposes to avoid mobile fraud or any hack.
A survey was done on mobile banking trends which tells that there’s a growth of 38% in the year 2020 when compared to 2019. The banking sector in collaboration with the mobile industry can achieve much more progress in the future.
Digital Advertisement Growth
Looking at the growth in smartphone usage and the drastic shift towards digitalization, many companies are now considering mobile advertisement. These companies advertise through text ads or via SMS or through banner advertisements that appear embedded on a mobile website.
Mobile marketing is easy to access and a very cost-effective way of marketing. Mobile media has begun to draw more significant attention from the media advertising industry since the mid-2000s, based on a view that mobile media was to change the way advertisements were made.
Today the techniques have shifted completely and the strategies used are far more advanced. The effect of digital advertisement directly comes to the sales of the mobile industry providing digital content to the audience.
E-Commerce started in 1979 with limited resources, but gradually increased and is now in 2020 at it is at its peak. The rise of E-commerce websites has increased in the past year as the offline stores were closed and people were forced to shop their essential items, online stores through the medium of mobile apps and websites.
People started looking out for everything on their mobile phones and eventually now it has made people habitual to purchase goods online. This led to immense growth in the E-commerce sector.
Every year the E-commerce sector of India increases by around 28%. And because of the Covid-19 crisis, it has increased by 41% in the year 2020. The new platform for purchasing goods is convenient and helping the mobile industry to grow even at a faster pace.
The future is based on technology. With this mindset, software companies are focusing on mobile-based IoT devices. IoT devices are computing devices that are connected wirelessly to a network and can transmit data to many devices.
The connected car technologies and smartwatches are a perfect example of the IoT devices which are connected to the mobile device to show information and transmit data to perform a set of operations commanded by a person. These devices will bring in the new future of the mobile industry.
Mobile Industry has seen many changes in the year 2020 and can see many more by the major players like Samsung, Apple, and Oneplus which consistently bring updates to their technology and reforms to meet the increased expectations of the consumers. Mobile phones will be taking over the future for sure with the rapid growth in the industry as well.
What is the value of smartphone industry
The smartphones market is valued at USD 714.96 billion in 2020.
Is the smartphone industry competitive?
Yes, the smartphone industry is a very competitive industry as it is one of the fastest growing industries in the world.
Who has the most market share in smartphones?
Samsung has the most market share in smartphones in 2021.