India Now Second Largest Smartphone Market, Overtakes US

India Now Second Largest Smartphone Market, Overtakes US
Free-Photos / Pixabay

India has now overtaken the U.S. in becoming the second biggest smartphone market after China, according to a new report from Canalys. The U.S. has been sitting at second place until the third quarter of this year, the research firm said.

Positive outlook for Indian smartphone market

In the second quarter, the Indian smartphone market did not do that well, but it recovered in the third quarter with shipments growing 23% year on year to 40 million units, according to Canalys. India ousting the U.S. in the smartphone market has long been expected, given the massive difference in population size between the two nations, but recent developments, including demonetization in late 2016, slowed the progress.

“This growth comes as a relief to the smartphone industry. Doubts about India’s market potential are clearly dispelled by this result,” said Canalys analyst Ishan Dutt, in a blog post. Further, Dutt notes that the country has over 100 mobile device brands, and more new brands are coming every quarter.  The analyst expects the growth to continue with main drivers being the explosion of the LTE and low smartphone penetration.

Massif Capital’s Top Short Bets In The Real Asset Space [Exclisuve]