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GenAI-Enabled Smartphones To Dominate Market By 2028 Amid Rising Premiumisation: Report

Over half of smartphones shipped in 2028 will likely support generative AI, driven by expanding use cases and availability across all price ranges, according to a report by Counterpoint Research. Although global smartphone shipments will stay stable, growth will focus on emerging markets like India, MEA, and Southeast Asia.

Counterpoint Research Director Tarun Pathak noted that smartphone revenues will keep rising through 2028, as premium models gain popularity. He added that features like GenAI and foldable designs will increase average selling prices (ASP) as more users adopt them.

Revenue Soars in Premium Segment

Global smartphone revenue surged in Q3 2024, growing 10% year-on-year to reach record levels. Apple led the revenue market, capturing 43% with its best-ever Q3 in sales and ASP. The early iPhone 16 launch and a product mix favoring Pro models boosted Apple’s success.

Strong revenue growth across major brands also helped the $400-and-above segment grow by 2% YoY in Q3. This premium trend has led OEMs to rethink their high-end offerings and financing strategies.

Premiumisation Trend to Boost ASP

As premiumisation grows worldwide, the report expects ASPs to rise by 3% annually from 2023 to 2028. GenAI capabilities will drive demand, pushing ASPs higher and reshaping the smartphone landscape across all segments.

Also Read: Hyundai Unveils Teaser Image Of Ioniq 9 SUV; Celebrates Production Milestone

Ajaypal Choudhary

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