The Future of Smartphones

Smartphones have changed the face of communication worldwide. Today, it is common to see people using their smartphones to talk, send and receive emails, connect on social media, browse, shop and so much more. The emergence of more than a billion apps has made smartphones a ubiquitous device in the hands of more than half of the world population. A report by eMarketer shows that 4.55 billion people are expected to use a smartphone by the end of 2014. This growth is fueled in part from the demands coming from the developing regions of Asia-Pacific, the Middle East, Africa and Latin America. Mobile penetration rates in these countries are expected to increase from the current 61.1 percent to 69.4 percent by 2017.

This rapid growth and adoption of smartphones has been possible due to the lowered cost of these phones, and easy availability across all markets. Moreover, advancements in network have increased the availability of 3G and even 4G networks, so people are able to make the most of their cell phones. To tap into this smartphone penetration, cell phone providers are also improving their infrastructure to provide faster and better connectivity to their customers. All this augurs well for the society as a whole, because the transition to a digital lifestyle is likely to be smooth and easy.

Despite these promising statistics, the Western world is likely to see a decline in the growth rates because the markets are saturated. A report by the International Data Corporation (IDC) expects growth rates to drop to single digits in Europe and North America, due to the mobile penetration rates are already high, encompassing more than 200 million users. To make up for this decline, service providers are exploring new opportunities for revenue.

Due to these scenarios, 2014 could be a turning point for the smartphone industry, as it has to cater to growing demand on one side of the world, and boost its services on the other side.