New Delhi, Dec 30: India’s smartphone market reached new heights in Q3 2024, with a notable 12% year-on-year (YoY) increase in value and a 3% rise in shipment volume, according to industry data. The surge was driven by the growing popularity of 5G smartphones and steady demand in the budget segment.
5G models accounted for 81% of total shipments, with particularly strong adoption in the ₹10,001-15,000 price range, where penetration reached 93%. This trend underscores the Indian consumer’s preference for affordable, high-performance devices.
Chinese smartphone brands retained their dominant position, despite government efforts to promote local manufacturing through the “Make in India” initiative. Industry experts attribute their success to offering feature-rich devices at competitive prices, appealing to India’s price-sensitive consumers.
The smartphone chipset market reflected similar dynamics:
- MediaTek led with a commanding 54% market share.
- Apple maintained its lead in the premium segment with a 35% share, followed by Qualcomm (28%).
- Chinese chipset producers, while modestly growing in India, face global challenges due to geopolitical tensions.
Chinese chipset manufacturers are under increasing pressure from US-led restrictions targeting security and data privacy concerns. Reports suggest the US may blacklist certain Chinese chipmakers, posing significant challenges for these companies in global markets.
Amid these global shifts, India is making strides in developing a domestic semiconductor ecosystem. Under its $10 billion Semiconductor Mission, the country aims to:
- Reduce dependency on imported chips.
- Establish itself as a global semiconductor exporter.
With the global semiconductor market projected to hit $1 trillion by 2030, India’s strategic investments position it to capture a significant share of this rapidly growing industry.
While India’s smartphone market continues to thrive, Chinese brands remain firmly entrenched, highlighting the challenges in reducing reliance on foreign manufacturers. However, India’s bold semiconductor initiatives reflect a long-term vision to strengthen technological self-reliance and capitalize on global market opportunities.
