The Indian Government recently banned 59 Chinese applications to secure its citizens from data theft. These banned apps were reportedly sharing users' data with their owners, and now these anti-Chinese sentiments are likely to affect the smartphone sales in the country.
It is expected that smartphone sales in the April-June quarter might fall due to these ongoing sentiments, supply issues, and nationwide lockdown. It is worth mentioning that these smartphone brands, such as Realme, OnePlus, Xiaomi Oppo, and Vivo have managed to garner 80 percent market share in Q1 of this year, according to Counterpoint and IDC.
The decline is expected to cross eight percent, and it will continue in the July-September quarter. However, the research firms said that they are still tracking the numbers. On the other hand, the research firm predicted that these sentiments might help Samsung and Nokia might increase their market share.
Both Counterpoint and IDC also suggested that the Chinese smartphone brands have invested a lot of money in the research and development, and products. The companies have launched several products; especially they are focussing on launching 5G smartphones in the country. Almost all Chinese company has launched 5G devices in the first half of this year. So, there are high chances that buyers will start buying smartphones from these companies in the coming days.
Smartphone Sales Will Decline In 2020
Meanwhile, a report from TechArc projected that smartphone sales will miss the target this year. Smartphone sales might decline to 127 million from 162 million. "This impact due to Covid-19 means 21.6 percent less than the sales estimated at the beginning of the year 2020. In terms of actual decrease compared to 2019, it will be 12.5 percent (down from 2020 sales of 145 million)," techARC said.
This means this is the worst period for the smartphone industry, and people will spend less money on smartphones. It is also expected that smartphone companies will focus on other ways like after-sales services, wallets, and launching new segments, such as headphones, audio products, and chargers to increase revenue.