The low-cost smartphone segment, defined as models with a selling price of less than $150, report. Low-cost smartphone shipments are forecast to double every year from 2010 to 2016, increasing from 4.5 to 311.0 million, NPD predicts.
Those pricing trends are crucial for adoption of smart phone technology in emerging regions.
About 60 percent of the demand will come from the Asia Pacific region, where a large majority of component suppliers and manufacturing factories are located—providing both time and cost savings, NPD notes.
Android is the most popular operating system for low-cost smart phone designs, NPD says.
Android-Based Low Cost Smart Phone Shipments by Region
Source: NPD DisplaySearch Smartphones: Displays, Designs and Functionality report
The penetration rate of Android-based low-cost smart phones is increasing, with NPD DisplaySearch forecasting Android share to grow from two percent of total smart phone shipments in 2012 to 29 percent in 2016.
Penetration of Low-Cost Smart Phones