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Dirt-cheap smartphones are the wave of the future

November 26th, 2013 at 6:30 PM
Smartphones Average Selling Price

Smartphone shipments are expected to equal one-seventh of the Earth’s population by the end of the year, but how has the market maintained its momentum? Easy: lower prices. According to an IDC forecast, smartphones are expected to see 39.3% year-over-year growth in 2013, while their average selling prices (ASPs) will decline 12.8%, from $387 to $337.

“The game has changed quite drastically due to the decline in smartphone ASPs,” said IDC Program Director Ryan Reith. “Given the trajectory of ASPs, smartphones are now a very realistic option to connect [the next] billion users.”

Emerging markets hold the key to the continued rapid ascent of worldwide smartphone shipments, as vendors attempt to balance profit and market growth. Prices will fall and new customers will be given the opportunity to enter the field. IDC’s ASP chart can be seen below.

Jacob started covering video games and technology in college as a hobby, but it quickly became clear to him that this was what he wanted to do for a living. He currently resides in New York writing for BGR. His previously published work can be found on TechHive, VentureBeat and Game Rant.

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