Telecom
Smartphone Volumes Will Return to Growth in 2019 and Beyond- IDC
The worldwide smartphone market is expected to contract again in 2018 before returning to growth in 2019 and beyond, after declining 0.3% in 2017
According to the International Data Corporation (IDC) Worldwide Quarterly Mobile Phone Tracker, smartphone shipments are forecast to drop 0.2% in 2018 to 1.462 billion units, which is down from 1.465 billion in 2017 and 1.469 billion in 2016.
Looking further out, IDC expects the market is to grow roughly 3% annually from 2019 onwards with worldwide shipment volume reaching 1.654 billion in 2022 and a five year compound annual growth rate (CAGR) of 2.5%.
The biggest driver of the 2017 downturn was China, which saw its smartphone market decline 4.9% year over year.
Tough times are expected to continue in 2018 as IDC forecasts consumption in China to decline another 7.1% before flattening out in 2019.
The biggest upside in Asia/Pacific continues to be India with volumes expected to grow 14% and 16% in 2018 and 2019.
Chinese OEMs will continue their strategy of selling large volumes of low-end devices by shifting their focus from China to India.
So far most have been able to get around the recently introduced India import tariffs by doing final device assembly at local India manufacturing plants.
As for components, almost everything is still being sourced from China.
Ryan Reith, program vice president with IDC’s Worldwide Quarterly Mobile Device Trackers. said “With 2017 now behind us a lot of interesting market dynamics are unfolding,”
“Even though it declined 5% in 2017, China remains the focal point for many given that it consumes roughly 30% of the world’s smartphones.
“But plenty of pockets of growth can be found beyond China. India is now grabbing headlines and the market itself is going through some rapid transformation.
“Local India manufacturing continues to ramp up, despite still having a heavy dependence on China for components.
“The boom in India is likely to continue in the years to come, but the move toward building up local production has certainly caught the eye of many in the industry.”
Outside of Asia/Pacific, the biggest regions for growth will be the Middle East, Africa, and Latin America.
All three regions have relatively low penetration rates and plenty of upsides.
Economic challenges have been the main inhibitor over the past two years, but IDC expects consumer spending to rise throughout the forecast and smartphones to be a big benefactor.
The other catalyst to watch will be the introduction of 5G smartphones.
IDC predicts the first commercially ready 5G smartphones will appear in the second half of 2019 with a ramp up across most regions happening in 2020.
IDC projects 5G smartphone volumes to account for roughly 7% of all smartphones in 2020 or 212 million in total.
The share of 5G devices should grow to 18% of total volumes by 2022.
Anthony Scarsella, research manager with IDC’s Worldwide Quarterly Mobile Phone Tracker, said “Although overall smartphone shipments will decline slightly in 2018, the average selling price (ASP) of a smartphone will reach $345, up 10.3% from the $313 ASP in 2017.
“This year will continue to focus on the ultra-high-end segment of the market as we expect a surge of premium flagship devices to launch in developed markets in 2018.
“Devices featuring large AMOLED bezel-less displays, advanced camera functions, and an overall increase in speed and performance will be the driving factor in the increase of ASPs.
“Moving forward, we can expect this trend to continue as the ASP for a smartphone will continue to grow throughout the forecast period.
“In 2022, the final year of our forecast period, the average selling price for a smartphone will be $362, resulting in a 5-year CAGR of 2.9%.”
Platform Highlights show that Android’s share of total smartphones is expected to remain relatively stable at 85% of total shipments worldwide.
Volumes are expected to grow at a five-year CAGR of 2.5%, with shipments totaling 1.41 billion by 2022.
There is no question that Android is the OS of choice for the mass market and nothing leads us to believe this will change.
Given the large number of Chinese OEMs dependent on Google’s OS, as well as components from other U.S. companies like Qualcomm, it will be interesting to see how things develop with all the discussion about a US-China trade war.
Android OEMs continue to drive down the coast of new technology features at a rapid pace.
IDC estimates that 98% of Android phones will ship with screens larger than 5 inches by 2022, with 36% being 6 inches or larger.
While some of this will remain premium flagship models, the aggregate ASP of Android phones with a 6-inch screen or greater by 2022 is projected to be $414.
iOS: iPhone volumes are expected to grow 2.6% in 2018 to 221 million in total.
IDC is forecasting iPhones to grow at a five-year CAGR of 2.4%, reaching volumes of 242 million by 2022.
With rumors of some upcoming larger screen iOS smartphones, IDC has changed its screen size forecast for Apple by introducing volumes greater than 6 inches.
Products are likely to begin shipping in the fourth quarter of 2018, with volumes ramping up and accounting for 36% of all iPhones shipped by 2022.
MTN Nigeria is accelerating investments in network expansion and modernization to address rising demand for mobile and data services across the country.
The operator is deploying additional base stations, upgrading existing infrastructure, and expanding fiber connectivity to improve network capacity, coverage, and service quality.
The investments are designed to support increasing smartphone adoption, higher data consumption, and the growing use of digital services by consumers and businesses.
MTN said the expansion aligns with its long-term strategy to enhance customer experience while strengthening Nigeria’s digital infrastructure.
The company expects the ongoing upgrades to improve connectivity, support economic growth, and enable broader access to reliable telecommunications services as demand for high-speed broadband continues to increase.
Airtel Africa’s CEO, Sunil Taldar, has announced the telco’s commitment to connecting 5,000 schools across its operating countries in Africa to the internet by 2027 through its philanthropic arm, Airtel Africa Foundation, in partnership with the United Nations Children’s Fund (UNICEF).
So far, the $57m partnership, which was launched in 2021, has cumulatively connected 3,296 schools and provided access to over 2 million learners and about 40,000 teachers. 64 digital learning platforms have been zero-rated thereby enabling more than 11m users to access educational content at no cost.
Speaking during a visit to St. Monica’s Girls School in Lusaka, which is one of the 300 schools already connected to the internet in Zambia, the Airtel Africa CEO stated that the initiative is having a profound impact on the quality of education by expanding access to digital learning resources for African children, in collaboration with governments.
Mr Taldar added: “Students are accessing best-in-class education from the curriculum developed by UNICEF in partnership with various Ministries of Education and provided through Airtel’s connectivity.
“We are also training teachers, so that they deliver digital education effectively. We aim to continue deepening meaningful connectivity in schools by providing free internet access, zero‑rated platforms and training teachers across the continent”.
Expressing her appreciation, the Headmistress of St. Monica’s Girls’ School, Sr Matilda Soloko said: “Being among the first schools connected in the initial stage, our learners have been able to study using the learning portal and their studies have been intensified. We remain grateful to Airtel and UNICEF.”
UNICEF’s Country Representative for Zambia, Dr Saja Farooq Abdullah said: “What this partnership has brought is really bridging the equality gap and the digital divide. It is making sure that every child learns wherever they are. It was exciting and interesting to see and hear from the girls how they can learn at their own pace, how they can review the materials, and how they do their homework with comfort.
The Director of Secondary Education in Zambia’s Ministry of Education, Yvonne Mwemba Chuulu lauded UNICEF and Airtel for the partnership saying: “At the Ministry of Education, we cannot do it alone, and we are grateful for the partnership that we have today.
“Our children are able to learn in a blended fashion, where we have a teacher who is also employing digital devices. We have also heard from the learners that they are able to access the portal when they are at home, which is a good thing because our learners continue to learn in the comfort of their homes”.
The School Connection programme is expanding digital learning to learners in 13 countries: Chad, Congo, Democratic Republic of Congo, Gabon, Kenya, Madagascar, Malawi, Niger, Nigeria, Rwanda, Tanzania, Uganda, and Zambia. By equipping these schools with internet connectivity and training teachers on using the digital tools, it is providing children, particularly in underserved and remote regions, with the digital tools and skills they need to thrive.
Airtel Africa Foundation is advancing inclusive development across four strategic pillars, Financial Inclusion, Education, Environmental Sustainability and Digital Inclusion.
MultiChoice has officially become a wholly owned subsidiary of French media company Canal+, marking the completion of one of the largest acquisitions in Africa’s media and entertainment industry.
The integration brings the South Africa-based pay television operator under the full ownership of Canal+, a global media group with operations in 70 countries.
Announcing the completion of the transaction on Thursday, Chief Executive Officer of Canal+ Africa and MultiChoice, David Mignot, described the development as the beginning of a new phase of growth for the broadcaster.
“MultiChoice is now a full subsidiary of a truly international media group operating in 70 countries.
“The group was founded in France, is listed in London and Johannesburg, and has a strong African presence with operations in more than 45 countries,” Mignot said.
The acquisition combines Canal+’s international operations with MultiChoice’s extensive footprint across sub-Saharan Africa, where it serves millions of households through its DStv and GOtv platforms, as well as the Showmax streaming service.
According to Canal+, the integration will strengthen MultiChoice’s competitive position by giving it access to broader financial resources, technology, content partnerships and operational expertise.
The company said the combined business would increase investment in local content production, sports broadcasting and streaming services as competition intensifies from global platforms such as Netflix, Amazon Prime Video and Disney+.
The transaction is also expected to provide MultiChoice with greater access to international markets at a time when traditional pay television operators are adapting to changing consumer viewing habits and the rapid growth of digital streaming platforms.
Canal+ has expanded steadily across Africa over the past decade and now assumes full control of a business operating in more than 45 African countries, further strengthening its position in the continent’s media and entertainment sector.
The acquisition followed Canal+’s gradual increase in its shareholding in MultiChoice, which began in 2024.
After exceeding the regulatory threshold, the company launched a mandatory offer in April 2024 to acquire the remaining shares of the Johannesburg-listed broadcaster.
Following regulatory approvals and shareholder acceptance, Canal+ secured control of MultiChoice in 2025 before completing the process that has now made the company a wholly owned subsidiary.
Industry observers describe the acquisition as one of the most significant media transactions involving an African company, reflecting a broader trend of consolidation as global entertainment firms seek greater scale to compete in the streaming era.
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