Bigger screens and videos, cheaper smartphones from China will dominate in 2016: Micromax claims
Indiaâ€™s top smartphone maker Micromax has said that cheaper smartphones are going to be the norms in the Indian smartphone market. This is nothing new indeed and the nation has been witnessing an unprecedented boom in cheap smartphone market. The smartphone maker has also said that bigger screens and videos will become the norm in the days to come.
While United States, Europe and China have seen a huge spurt in the sale of high-end handsets, in the Indian market high-end handsets remain an exception. Most of the sale taking place in the smartphone market is actually dominated by cheap handsets that cost less than Rs 8000.
In the meantime the top smartphone maker in the Indian market Micromax has said that the year 2016 will be the year of large screens and videos. It has added that the demand for cheaper smartphones will grow and 3G and 2G users will continue to co-exist over the next few years in India, Micromax, one of the countryâ€™s leading smartphone makers, has predicted.
There is no denying the fact that in the current year Chinese and Indian brands in mobile manufacturing market would be a key driver for new business models to emerge to ensure unit level profitability, the Micromax study noted, adding that it may be difficult for Chinese companies to enter and flourish if the Goods and Service Tax (GST) is implemented. It also pointed out that e-commerce might flatten out and mobile internet ecosystem would grow beyond the 150-200 million smartphone users.
The report went on to add, â€œThe massification of smartphones will continue in India to keep on catering to the needs of first time smartphone users and the growth will depend on vernacular usage, access costs and penetrating distribution and awarenessâ€. Although the country saw the proliferation of 4G-enabled devices, 3G and 2G users will continue to co-exist over the next few years.
In the meantime the report added that 4G will improve the market further. â€œThe auction of LTE (4G) centric spectrum in 2016 could make 4G to play a crucial role in building Digital India,â€ it noted. Samsung and Micromax dominated the handset market last year by ramping up domestic manufacturing.
There were some amazing revelations as well. Shockingly, the study said that in 2016, e-commerce websites may flatten out as these platforms will cut back their cash burns. However, the reach will expand to newer towns. The study pointed out that with the wide availability of data network, content, personalisation and hardware such as large screens, smartphones will become a more preferred source for video consumption in 2016. Mobile-led services across sectors like entertainment, travel, healthcare and banking will become mainstay and mobile internet ecosystem will grow beyond the 150-200 million smartphone users. The key to this growth will be simplification through relevant services and availability of these in various Indian languages, the study said.