Covid-19 slows down the emergence of 5G smartphones



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Covid-19 slows down the emergence of 5G smartphones

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The coronavirus pandemic will drastically reduce smartphone production. It will decrease by 30% in the first half of 2020, according to an analysis by ABI Research.

“Ripples in China will be felt around the world,” said David McQueen, director of 5G device research at ABI Research.

As China found itself at the epicenter of the Covid-19 outbreak, the next impact was catastrophic for the global mobile market due to disruption of production lines and disruption of supply chains.

China is the global hub for the production of most mobile devices and one of its largest markets, making it the hardest hit by the slow delivery and development of next-generation products.

The adverse impact of Covid-19 on the 5G market is expected in the short term. The pandemic has already stunted growth, prompting the development and launch of affordable 5G phones, McQueen explains.

Lower price levels were expected to be a major driver of the increase in shipments of 5G smartphones in 2020, but this impact will be weakened during the year due to coronaviruses.

Shipments of 5G smartphones throughout the year will be significantly lower than expected due to supply chain issues and reduced demand. The market will face many delays, especially with the launch of Apple’s first 5G iPhone models due in September 2020.

The pandemic is expected to gradually eradicate by the end of the second quarter of 2020, but it will take some time to regain consumer confidence and recover the mobile sector.

With so much dependence of the global mobile market on China on component manufacturing and supply, it has become clear that many supply chains are terribly unwilling to respond quickly, McQueen notes.

The long-term impact of Covid-19 on the mobile ecosystem is not completely clear, but the short to medium term pandemic will have a strong impact on the smartphone market, especially as the industry seeks to impose 5G devices at lower price levels in 2020. .

Covid-19 slows down the emergence of 5G smartphones



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