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India's Smartphone Market Surge by 10% in Q1 2024, Fueled by 5G and Premium Devices: CMR Report

India's smartphone market grew by 10% in Q1 2024, fueled by a 91% increase in 5G smartphone shipments, which now make up 70% of the market. Sales of premium smartphones priced above INR 25,000 also surged by 71%.

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Punam Singh
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India's smartphone market grows by 10% in Q1 2024

India's smartphone market witnessed a robust 10% year-over-year growth in the first quarter of 2024, according to a recent report by CyberMedia Research (CMR). This surge is primarily attributed to a significant increase in 5G smartphone shipments, which now account for 70% of the market, marking a 91% growth from the previous year.

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The CMR report highlighted the increasing shift towards premium smartphones, with the adoption of devices priced above INR 25,000 the market experienced a 71% year-over-year shipment increase. This trend underscores the country's strong consumer demand and growing affordability of high-end technology.

5G Technology Takes Center Stage

The adoption of 5G technology has been particularly a notable factor in the price range between INR 10,000 and INR 15,000. There has been an unprecedented 400% growth compared to the previous year in the case of the adoption of 5G technology. India's approach to 5G adoption by offering competitive price points sets it apart from other major markets like the US and China.

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"India's smartphone market is embracing 5G adoption and a clear push towards premiumization," noted Menka Kumari, Analyst at CyberMedia Research. "The integration of AI in phones is further boosting this trend, especially in the super-premium category, which saw a 47% year-over-year growth."

Bhaskar Negi, analyst at CMR, added, "The market is poised for fierce competition, particularly in the value-for-money 5G segment. Brands that leverage affordable 5G, powerful on-device AI, and seamless cross-device experiences are set to excel."

Evolving Market and Brand Dynamics

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The competitive landscape in the Indian smartphone market remains dynamic, with Samsung leading the pack closely followed by Xiaomi and Vivo. According to the CMR report:

  • Samsung holds an 18.8% market share, despite a slight decrease.
  • Xiaomi has shown substantial growth, now holding an 18.6% share.
  • Vivo and Oppo maintain strong positions with 16% and 10% market shares respectively.
  • Realme has also seen notable growth, capturing 10% of the market.

Additionally, the feature phone segment has also witnessed a 42% growth, with a particularly strong increase in 4G feature phone shipments, which skyrocketed by over 650%. Brands like itel Mobile and Nokia showed significant improvements in their market shares, indicating a shift in consumer preferences within this segment.

With the first quarter setting a dynamic pace, India's smartphone market is expected to grow by 7-8% in 2024. The ongoing adoption of 5G and AI technologies, coupled with the market's inclination towards premium devices, are likely to be key factors driving this growth.

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