GST Won’t Impact India’s Growing Smartphone Market


India is moving towards being home to one of the largest numbers of smartphone users as well as internet users worldwide and a recent study suggests that the Goods and Services Tax (GST) will not have any effect on the growth of the smartphone market in the country.

According to a global market research firm, GFK, with an 11 percent year-on-year increase in smartphone sales, it’s being forecasted that smartphone sales in India will hit around 234 million units in 2017.

The global report whose research is focussed on regions across the world also pointed out that the smartphone demand in Emerging Asia region, which majorly comprises of the countries in the India-subcontinent and a few more, totalled 56.7 million units — a 13 percent growth year-on-year.

“Smartphone demand in India also remained resilient in the second quarter of 2017, having levelled out slightly to 14 per cent year-on-year. This represents the strongest growth across all regions for the year,” Gfk’s report stated.

Smartphone sales have risen significantly in Bangladesh and Malaysia too with a 40 and 31 percent growth in demand year-on-year.

In China, smartphone demand plateaued in the second quarter of 2017 at 110.1 million units, showing no change year-on-year.

“This makes it the strongest second quarter on record. Emerging Asia led the demand growth with a 13 per cent year-on-year increase, followed by Central and Eastern Europe at 11 percent, and Latin America at 10 percent,” GfK added.

The global smartphone demand totalled 347 million units in the second quarter of 2017, up four percent year-on-year.

“The record demand for smartphones in the second quarter this year shows that, despite saturation in some markets, the desire to own a smartphone is a worldwide phenomenon. How that manifests itself differs widely by region,” said Arndt Polifke, global director of Telecom Research at Gfk.

(With inputs from IANS)

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Bike enthusiast, traveller, ManUtd follower, army brat, word-smith; Delhi University, Asian College of Journalism, Cardiff University alumnus; a journalist breathing tech these days.