The worldwide smartphone market is forecast to decline 11.9 percent year-on-year in 2020 with shipments totaling 1.2 billion units, according to a study from the IDC. The forecast follows the largest year-over-year decline in the first quarter. Smartphone shipments are now expected to fall 18.2 percent in the first half of the year as the macroeconomic impact of the covid-19 pandemic continues to affect consumer spending. Global smartphone shipments are not expected to return to growth until Q1 2021.
From a geographic standpoint, the Chinese economy will continue to be impacted by Covid-19, however signs of improvement are showing as lockdowns and supply chain disruptions have begun to ease a bit. For the most part, factories resumed operations and the market opened with some travel and logistical restrictions, leading researchers to believe the China domestic market will only see a single digit decline in 2020.
By contrast, Europe has been hit hard by the pandemic, especially in countries like Italy and Spain, which will cause a double-digit decline in the region this year. Nonetheless, researchers expect the top vendors in the region to maintain their market shares driven by rotating strategies such as higher flagship launches and forming stronger e-commerce footprints.
