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2016 Remarkable Year Smartphone Market, 1.47Bn Units Shipped

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The holiday quarter of 2016 capped off another positive year of smartphone growth despite concerns about the overall market slowing. According to preliminary data from the International Data Corporation (IDC) Worldwide Quarterly Mobile Phone Tracker, smartphone vendors shipped a total of 428.5 million units during the fourth quarter of 2016 (4Q16), resulting in 6.9% growth when compared to the 400.7 million units shipped in the final quarter of 2015.

For the full year, the worldwide smartphone market saw a total of 1.47 billion units shipped, marking the highest year of shipments on record, yet up only 2.3% from the 1.44 billion units shipped in 2015.

Large markets like China, the United States, and Brazil all ended the year on a strong note helping to keep worldwide volumes in positive territory.

“There’s no question that 2016 marked a memorable year for the smartphone industry in many ways,” said Ryan Reith, program vice president with IDC’s Worldwide Quarterly Mobile Device Trackers. “This was a year that brought us the first down year for iPhone, yet Apple closed out the holiday quarter by surpassing Samsung for the top spot in the smartphone industry. We also witnessed year-over-year declines in some emerging regions like the Middle East and Latin America where high growth was expected. To round it all off, we now have a three horse race at the top of the market as Huawei cracked the double-digit share mark for the first time ever.”

Despite the changes that 2016 brought upon the market, including annual growth dropping from 10.4% in 2015 to just 2.3% in 2016, IDC expects a few turnarounds in 2017.

First, IDC is forecasting a rebound in iPhone shipments with the yet to be announced tenth anniversary iPhone. Second, the Middle East and Africa (MEA) and Latin America regions are expected to return to growth in 2017. And, as a result of the aforementioned as well as several other driving factors, growth in 2017 should improve slightly from 2016’s results.

“As the two leading players continue to battle for the top spot, several Chinese vendors have solidified their position as valid contenders,” said Anthony Scarsella, research manager with IDC’s Worldwide Quarterly Mobile Phone Tracker. “The top three Chinese vendors (Huawei, OPPO, and vivo) are persistently applying pressure on Samsung within China thanks to a vast portfolio of affordable, well-built devices. Not only is this pressure coming at the low-end, but high-end devices like the P9, Mate 8, R9s, and XPlay6 haven proven viable options for consumers looking to upgrade or save money without sacrificing quality. However, it is worth noting that despite the success of these brands within China, they will need to find growth beyond their home turf to eventually knock off either Samsung or Apple at the top.”

Smartphone Vendor Highlights:
Apple reclaimed the top spot thanks largely to the success of the new iPhone 7 and 7 Plus. Despite a strong fourth quarter, 2016 marked the first full year of declining shipments for the iPhone with a 7% year-over-year drop.

Apple shipped a record 78.3 million units in the fourth quarter, up 4.7% from the same quarter one year ago.

Although the iPhone 7 did not feature a drastically different industrial design from its predecessor, it did bring yet another significantly improved processor, more robust camera, water resistance, and new color/finish options. Much like Samsung, all eyes will be on Apple’s next flagship, and all signs point to something very special for the tenth anniversary of this iconic product.

Samsung dropped to second in the worldwide smartphone market with shipments declining 5.2% compared to last year.

The Korean giant shipped 77.5 million units in 4Q16, down from the 81.7 million units shipped last holiday quarter. On the year, Samsung shipped 311.4 million smartphones worldwide, which was down 3% from the 320.9 million shipments in 2015.

Despite the Note 7 debacle and growing pressure from Chinese vendors, Samsung still managed to find success with its S7 and popular J-series of devices in numerous markets.

The challenging holiday quarter, however, did bring its worldwide market share below 20% for the first time in over four years, leaving no better time for the pending arrival of its next flagship product, the Galaxy S8.

Huawei retained the number three position while gaining worldwide market share in 4Q16. The quarter marked the first time the Chinese giant captured double-digit share with 10.6% of the total shipment volume.

Huawei shipped 45.4 million units in the quarter, up 38.6% from the 32.7 million shipped in the fourth quarter of 2015.

For the year, Huawei shipped 139.3 million units, up 30.2% from the 107 million units shipped in 2015. The P series and Honor sub-brand drove essential volume in China as well as other countries in Asia and beyond.

With proven success in China and many European countries, Huawei now has its sights set on the U.S. Whether or not the U.S. market becomes a serious playing field for Huawei is yet to be determined, but the recent release of the Mate 9 in the U.S. has surely caught the attention of both Apple and Samsung at the high end, while Honor brand devices will continue to drive the mid-tier.

OPPO continued its push to reach the top of the market with its fourth straight quarter of greater than 100% year-over-year growth. OPPO shipped 31.2 million smartphones in the holiday quarter, which was up 117% from the 14.4 million smartphones shipped in 4Q15.

The focus for OPPO over the past year has been international expansion outside of China and so far it has been successful at this. Beyond China, Southeast Asia and India have been the focal points for OPPO’s growth in 2016 supported by intense marketing campaigns and new product launches.

The company also began ramping up its presence in the Middle East and if momentum can pick up, a strong 2017 could be ahead.

Vivo remained the number five vendor with 24.7 million smartphones shipped in the holiday quarter, which was up from the 12.1 million shipped last holiday season. Over the year, vivo shipped a total of 77.3 million smartphones, up 103% from the 38 million last year. The majority of the shipments continue to be in China, however, and much like OPPO, vivo has been extremely aggressive with its marketing in a number of countries in Asia as it looks to extend its global reach.

 


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ALTON, ATCON Urge FG to Address Telecoms Industry Challenges

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The Association of Licensed Telecom Operators of Nigeria (ALTON) and The Association of Telecommunication Companies of Nigeria (ATCON), representing Mobile Network Operators and telecommunication companies in Nigeria, are calling upon the government to take decisive action in addressing the numerous challenges confronting the telecommunications industry.

In a statement jointly signed by Engr. Gbenga Adebayo, chairman of ALTON and Engr. Tony Izuagbe Emoekpere, ATCON President, the associations underscored the urgent need for collaborative efforts between the public and private sectors to overcome obstacles hindering the sector’s growth and development.

Infrastructure Deficits: ALTON & ATCON members still lack access to essential telecommunication services due to a myriad of challenges, including multiple taxation and regulations and prohibitive Right of Way (RoW) charges, inadequate electric power supply and vandalism of telecommunications infrastructure.

 Protection of Assets and Network Infrastructure: Advocating for legislation that

designates telecommunications infrastructure as Critical National Infrastructure (“CNI”): Both Associations expressed deep concern over the escalating security threats facing telecommunications infrastructure in Nigeria.

Telecommunications infrastructure undisputedly plays a pivotal role in Nigeria’s national security and socioeconomic growth, especially as the country currently contends with multiple security challenges that require urgent and immediate actions in response to these threats.

Attacks on cell towers, fibre optic cables, and other critical assets disrupt telecommunications services and result in significant financial losses for operators.

The associations urge the government to prioritize the security of telecommunications infrastructure and collaborate with law enforcement agencies to enhance protection measures and combat vandalism and sabotage effectively.

Cost-Reflective Tariff of Services: ALTON and ATCON respectfully reiterate that telecommunications infrastructure development requires substantial investments in network expansion, maintenance, and technology upgrades.

Despite the adverse economic headwinds, the telecommunications industry remains the only industry yet to review its general service pricing framework upward in the last (11) years, primarily due to regulatory constraints.

For a fully liberalized and deregulated sector, the current price control mechanism, which is not aligned with economic realities, threatens the industry’s sustainability and can erode investors’ confidence.

ATCON and ALTON call upon the government to facilitate a constructive dialogue with industry stakeholders to address pricing challenges and establish a framework that balances consumers’ affordability with operators’ financial viability.

Regulatory Independence: ALTON & ATCON advocates for the sustenance of a culture of independence in the regulatory landscape to safeguard against undue influence and unwholesome incursion into the Nigerian Communications Commission’s (NCC) or (Commission) domain, which will inspire trust in the telecommunications sector and encourage investment.

Regulatory neutrality and independence are crucial to ensuring a thriving telecommunications sector. Statutory provisions lend credence to this notion, as a lack of an impartial regulator will lead to a failure to maintain public confidence in the objectivity and independence of its decisions.

ALTON and ATCON reaffirms its commitment to working collaboratively with the government to address the challenges facing the telecommunications industry in Nigeria.

By fostering a conducive regulatory environment, prioritizing infrastructure development, enhancing security measures, and facilitating pricing adjustments, the government can unlock the full potential of Nigeria’s telecommunications sector, driving economic growth and societal development.

 


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Qualcomm Shortlists Startups for Qualcomm Make in Africa 2024 and Awards 2023 Wireless Reach Social Impact Fund

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Qualcomm Incorporated today announced the shortlisted startups for Qualcomm Make in Africa 2024, as well as the winner of the 2023 Wireless Reach Social Impact Fund.

The Qualcomm Africa Innovation Platform, now in its second year, aims to work with and support the development of Africa’s emerging technology ecosystem by providing mentorship, education, and training programs with a focus on 5G, Edge-AI/ML, Compute, and IoT. This year, Qualcomm received an overwhelming response, with approximately 250 applications from 30 countries.

Highlights: 

  • Startup cohort announced for 2024 Qualcomm Make in Africa startup incubation program featuring technologies.
  • Announcement of the awardee of the 2023 Wireless Reach Social Impact Fund, supporting startups in scaling their societal and market impact.
  • Development of L2Pro Africa website content nears completion, providing free online training on intellectual property protection.

As the first initiative of its kind in Africa, Qualcomm Make in Africa is an equity-free mentorship program that identifies promising early-stage startups keen on applying advanced connectivity and processing technologies such as 5G, Edge-AI/ML, Compute, and IoT to innovative end-to-end systems solutions, including hardware.

These startups have demonstrated exceptional potential in applying advanced connectivity and processing technologies to innovative end-to-end systems solutions.

The selected startups will receive free mentorship, business coaching, access to engineering consultation for product development, and guidance on protecting intellectual property. The 2024 cohort includes the following startups (listed in alphabetical order):

  • Aurora Health from Kenya provides AI-based cardiovascular health care tools
  • CropScan from Kenya uses solar-powered smart farming IoT devices
  • Cure Bionics from Tunisia makes smart 3D printed prosthetic arms
  • DevisionX from Egypt provides AI-based low-code computer vision tools
  • Kalio from Cameroon is building AI tools for Agricultural IoT
  • Kitovu from Nigeria provides tools and software for smart agricultural warehouse management
  • NextAI Studios from Kenya builds AI-based emotion detection into toys for children’s mental healthcare
  • RIM Nextgen from Kenya, uses smart tools for monitoring propane consumption
  • Sparcx from South Africa uses AI for enhancing radar signal processing
  • Vizmerald from Tunisia, is working on AI-based textile industry inspection

Qualcomm is also proud to announce the awardee of the 2023 Wireless Reach Social Impact Fund. This fund, provided by Qualcomm through its Qualcomm® Wireless Reach™ Initiative, aims to support startups in scaling their societal and market impact.

Ecorich Solutions Limited, a female-founded organization based in Nairobi, Kenya, will be awarded funding to help scale the impact of their smart organic food composter.

Wireless Reach funding will support Ecorich to address the dual challenge of organic waste management and the need for sustainable agricultural practices, with the goal of reducing environmental pollution, improving crop yields for farmers, and mitigating waste-related health risks for communities.

The other nine startups from the 2023 cohort will also receive valuable stipends to continue fueling their growth. These startups have showcased innovative uses of wireless technology to address pressing needs in their communities.

In addition, Qualcomm is excited to highlight the progress of the L2Pro Africa IP e-learning Platform, a free online training program designed to empower startups, SMEs, and researchers in Africa to protect, secure, and maximize their innovations. This program has been created in collaboration with Adams and Adams, Africa’s leading intellectual property (IP) law firm.

The education content has been updated with individual filing procedures for patents, industrial designs, and trademarks in the countries of Kenya, Nigeria, Uganda, Ghana, Rwanda and within the two African patent organizations, ARIPO and OAPI.

These step-by-step descriptions of per-country filing requirements empower inventors to interact effectively with IP professionals such as an IP attorney and their respective IP offices.

“I am thrilled with the overwhelming response to the Africa Innovation Platform this year,” said Alex Rogers, President, QTL & Global Affairs, Qualcomm Incorporated.

“The quality and diversity of the applications received reflect the immense talent and potential within Africa’s technology ecosystem.

“We are excited to work with the shortlisted startups and provide them with the necessary resources and support to drive innovation and create a positive impact in their communities.”

“We applaud Qualcomm for launching the second year of its Innovate in Africa Platform, which not only equips the upcoming generation of African entrepreneurs with expertise in pivotal areas like AI/ML, healthcare, agri-tech, smart cities, and communications but also empowers them to safeguard their intellectual property through the complimentary L2ProAfrica program.”, said John Omo, secretary general, African Telecommunications Union (ATU).

Mr. Omo also emphasized that the ATU remains steadfast in its commitment to fostering innovation and entrepreneurship across the continent. “Our youth innovation program, among other initiatives, plays a crucial role in cultivating the talents and aspirations of Africa’s young visionaries,” he affirmed. “We are ready to collaborate with additional partners to realize this objective.”


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Mastercard and CEBIH join forces to bolster cybersecurity in Nigeria

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Mastercard, in collaboration with the Committee of E-Banking Industry Heads for Nigeria (CeBIH), recently hosted the second edition of its annual Fraud Forum in Lagos, Nigeria. Building on the success of the inaugural edition in 2023, this year’s forum convened key industry players ranging from financial institutions, payment service banks, and fintech companies, to discuss critical issues such as threats and vulnerability, intel-sharing, and best practices in combating industry risks.

The cybersecurity event, attended by key public and private sector actors, also covered the regional threat landscape based on Mastercard’s strategic threat intelligence data. This timely intervention is crucial in a region where cyberattacks remain prevalent, especially amidst Nigeria’s rapid economic expansion and widespread adoption of digital financial services.

Recent data from the Financial Institutions Training Centre (FITC) revealed a staggering 276% increase in fraud-related losses within Nigeria’s deposit banks, underscoring the need for continuous vigilance and proactive cybersecurity strategies within the financial sector. In response to the escalating threats amid Nigeria’s bourgeoning financial landscape, key government bodies have called for enhanced collaboration within the payment systems’ ecosystem to curtail the rise in E-Fraud in the country.

“We are excited to continue the Fraud Forum in Nigeria,” said Kari Tukur, Vice President, Customer and Solutions Center, West & East Africa, Mastercard. “With cyberattacks posing serious challenges within the Nigerian financial ecosystem, we take pride in establishing a platform where key stakeholders can convene, network, and exchange best practices to safeguard against potential vulnerabilities. Mastercard remains committed to creating unique and essential solutions to help business owners protect themselves and their customers against vulnerabilities, and this platform provides us with an opportunity to drive knowledge regarding these solutions as we aim to elevate cybersecurity standards and ensure the resilience of the Nigerian financial ecosystem.”

The forum delved into various aspects of cybersecurity, including common attack methods used by cyber criminals, their motivations, the assets they target, and the best practices to safeguard against attacks. Attendees gained valuable insights into the regional cyber threat landscape, with a focus on the financial services sector, which has become a prime target for cybercriminals in recent years. It also presented an avenue for Mastercard to showcase its latest fraud prevention techniques and tools, including the Mastercard Decision Intelligence, a real-time authorization decisioning solution that empowers issuers to approve more genuine transactions while effectively managing risk.

“We are delighted to partner with Mastercard on another edition of the Mastercard Fraud Forum in Nigeria. This event continues to serve as a pivotal platform for industry leaders, stakeholders, and experts to convene and address the evolving landscape of fraud and cybersecurity challenges, especially in a period marked by increased sophistication. With this year’s edition, we continue to deepen our commitment to fostering collaboration and implementing effective strategies to combat fraud and safeguard the integrity of the financial ecosystem.” Temitope Onibaniyi, Secretary, Emerging Payments of CeBIH, representing Celestina Appeal, the CeBIH Chairman, added.

The forum aligns with Mastercard’s goal of providing clarity to the complex cybersecurity landscape, in a bid to foster an ecosystem where digital transactions are built on trust. As part of its commitment to combating fraud, Mastercard also announced that it will be sponsoring the CeBIH Quarterly Sessions for the second consecutive year, bringing together industry experts to discuss the latest trends in fraud prevention and share best practices for protecting customers.

 

 


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