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India Overtakes the US To Become the World's Second Largest Smartphone Market (techcrunch.com)

A reader shares a report: Move over America, India is now the world's second largest smartphone market. That's according to a new report from Canalys which claims smartphone shipments in India crossed the 40 million mark for the first time in Q3 2017 courtesy of 23 percent annual growth. That means that India has overtaken the U.S. on sales with only China ahead of it. Given the huge gulf in populations -- India's stands at over 1.3 billion while the U.S. is around 320 million -- the move had been expected for some time, but recent developments, including demonetization in late 2016, set progress back during recent quarters. "This growth comes as a relief to the smartphone industry. Doubts about India's market potential are clearly dispelled by this result," Canalys analyst Ishan Dutt said in a statement.

70 comments

  1. Priorities! by Anonymous Coward · · Score: 0

    Smarphone? Check
    Indoor Plumbing? ...

  2. Re:I DROPPED MY PHONE IN THE LOO by Anonymous Coward · · Score: 2, Funny

    Obviously you aren't in India. Otherwise you would say "I dropped my phone on the sidewalk"

  3. Shocking I tell you by sjbe · · Score: 1, Funny

    Wow, the country with the second largest population is the second largest market. Who could believe it?

    1. Re:Shocking I tell you by Joce640k · · Score: 2

      Relax: The USA's smartphones still have bigger screens and generate much more CO2 when you use them.

      --
      No sig today...
    2. Re:Shocking I tell you by Anonymous Coward · · Score: 0

      mine

      But this is soviet russia

    3. Re:Shocking I tell you by parkinglot777 · · Score: 1

      But I still don't know why it is a news here... If the population of the country is 4x times the U.S. population, why wouldn't it be a surprise if their sale become higher at some point? Or they (phone companies) are trying to encourage Americans to own 2+ smartphone each now, so that Americans can brag about being the largest or second largest again?

    4. Re:Shocking I tell you by Anonymous Coward · · Score: 0

      Yes.
      The USA is about 4% of the worlds population.
      Consumer growth is all in Asia (about 60% of the worlds population).
      This is what is so funny about Trumps Xenophobia, the threat of locking Asia out of the US markets pales into insignificance the treat that the USA could get locked out the the Asian (and the worlds) markets. Trump can tear up as many free trade agreements as he likes, its only going to make the result worse ... faster.

      Why do you think the USA is in the area stirring up issues between China and whom ever else over rocks in the sea. No one is seriously going to start a fight over oil, oil is going to go the way of coal. Its a pretence , the whole point is to create mistrust and stop Asia from setting up their own free trade bloc , which will have the effect of making the USA irrelevant in Asia.

      Unlike Cuba or NK, the USA would have no ability to implement any trade bans, the rest of the world would laugh at the USA and leave them to it.
      So Asia could reduce copyright and patent down to 3 years, and simply make 3 year old products cheaply for the Asian markets.

      In the 1950's the USA was over 50% of the worlds GDP, it is now less than 20% (and falling). Its not that the USA is failing, its that the rest of the world is growing. Peak USA has been and gone, and the US is unprepared for the new world.

    5. Re:Shocking I tell you by Anonymous Coward · · Score: 0

      Relax: The USA's smartphones still have bigger screens and generate much more CO2 when you use them.

      Well, since there are more Indians than Americans, I'd wager they are personally generating more CO2.

      Not that I'm worried about a trace gas like CO2, but it will be interesting when you idiots decide to limit human production of CO2 by killing people. I wouldn't even be surprised at this point.

      I wonder what a left wing lunatic would call murder when it's for the environment?

    6. Re:Shocking I tell you by slew · · Score: 1

      But I still don't know why it is a news here... If the population of the country is 4x times the U.S. population, why wouldn't it be a surprise if their sale become higher at some point? Or they (phone companies) are trying to encourage Americans to own 2+ smartphone each now, so that Americans can brag about being the largest or second largest again?

      Of course we have a "cell-phone gap" and this time it is more than likely actually real.

      Then again, just like our "fast-food" culture, I have no idea why they would be willingly following us down this rabbit hole given the potential consequences...

      I say we cede the high ground to China and India on this front...

    7. Re: Shocking I tell you by Anonymous Coward · · Score: 0

      Trump is pointing out that they already lock USA out of their markets with incredibly protectionist policies while we let them walk all over our markets putting our people out of business. Trump is right to say that if they lock us out, we lock them out. They will take every advantage of us that we give them.

    8. Re:Shocking I tell you by Gussington · · Score: 1

      Wow, the country with the second largest population is the second largest market. Who could believe it?

      When you look at how much poverty there used to be in India, it is a sign that America's place in the world is slowly being eroded. And this should be a concern for all of us who like things like free and democratic and English speaking. With China and India rising in power, the proliferation of tyranny and oppression rises with it.

      But ignore all that, Hillary had her own email server. That's really what we all need to worry about instead...

  4. Market Saturation is a funny beast by H3lldr0p · · Score: 1

    Chasing the dragon's tail of profits makes companies do funny things. Saturating a market for one. Make sure everyone who wants one has one and then what? You release a new version. Fine but what features are you going to sell it on? And what happens when you run out of new features? From what we've seen so far, you start removing things from the base product and hope no one remembers it in a year or two when you reintroduce it.

    Or you jump ships and find a market that's not saturated to the same extent and do the whole thing over there. Never stopping once to think the consequences of your actions through. Why? Because profits.

    1. Re:Market Saturation is a funny beast by Anonymous Coward · · Score: 1

      From what we've seen so far, you start removing things from the base product and hope no one remembers it in a year or two when you reintroduce it.

      Coming soon: headphone jack on the iPhone... but only on the high end version.

  5. Tech Support by Zorro · · Score: 4, Funny

    So where do they out source their Tech Support to? ;)

    1. Re:Tech Support by sinij · · Score: 1

      Alabama

    2. Re:Tech Support by Anonymous Coward · · Score: 0

      U.S.A.

    3. Re:Tech Support by Anonymous Coward · · Score: 1

      Red religious states because in a couple of more years they are all going to be educated to 3rd world standards

    4. Re:Tech Support by Anonymous Coward · · Score: 1
    5. Re:Tech Support by Anonymous Coward · · Score: 0

      You just put forth the fundamental flaw of democracy: That the vote of redneck inbread cro-magnon retard counts as much as the vote of an educated, civilized, evolved human being. Hence Trump.

    6. Re:Tech Support by dj245 · · Score: 1

      All the taxi drivers in Delhi are named Kevin.

      --
      Even those who arrange and design shrubberies are under considerable economic stress at this period in history.
    7. Re:Tech Support by Anonymous Coward · · Score: 0

      A democracy lives or dies on the quality of its elected leaders.

      If you are too ignorant to judge their qualifications, you are helping this country die.

      If you are too stupid to shift through the news, rumors, and facts to judge the character of our candidates, you are helping this country die.

      And how hurt is your butt

      You disgust me, but you are incapable of hurting me. I have skills and experience that will allow me to find work anywhere. I already speak two languages, so I'm sure I could learn a third if I need to. I can thrive even if this country does not.

      Even if your ignorance destroys this country, I will do just fine. You can hurt yourself a lot worse than anything you can do to me.

    8. Re:Tech Support by Anonymous Coward · · Score: 0

      inbread

      You were saying?

    9. Re:Tech Support by Anonymous Coward · · Score: 0

      English is not my native language. How many languages do you speak, smart-ass ?

    10. Re:Tech Support by Anonymous Coward · · Score: 0

      A doctorate in a worthless field of study still beats being brain dead.

  6. The big meatball hanging out there by 93+Escort+Wagon · · Score: 1

    Given the claim at the end of the summary, I went to RTFA to see if these were el-cheaply phones or the kind of phone manufacturers actually would want to sell. Unfortunately Tech Crunch’s site seems to be totally borked on my smartphone’s display... so I still don’t know the answer.

    --
    #DeleteChrome
    1. Re:The big meatball hanging out there by pr0fessor · · Score: 1

      They list Samsung as the most popular brand?

  7. Revenue by Thelasko · · Score: 1

    The Indian smartphone market may be larger in unit volume. However, they are likely lower priced models. I suspect the US market is larger in terms of smart phone revenue, where people will line up to pay $1000 for the new iPhone.

    --
    One of our competitors trademarked the term "hypothesis". From now on, we will call them "boneheaded ideas".
    1. Re:Revenue by ctilsie242 · · Score: 1

      The Indian smartphone market being large makes sense because for a lot of people, that is their main computing device. Other countries, the smartphone is a secondary device and usually paired with a laptop or desktop, perhaps with a tablet as well.

      What would be interesting is designing a smartphone from the ground up as a primary computing device. This would mean far more sophisticated backups (which are encrypted), ease of recovery over the air, even if one's ROM was corrupted, choices of ROMs, more flexibility in storage (one MicroSD card for internal secondary storage, one that would be external for backups, and at least 64-128 gigs of fast internal storage.) Battery replacement may be useful, but I'd assert that IP68 resistance would be more important, and a way to do an external battery case would be a better idea.

      Software-wise, designing a phone around VMs, so one can have private stuff, work stuff, and general items in separate areas, switchable by varying authentication modes (fingerprint, face print, PIN, password, or some combination of the above.) That way, if one's "social network" VM got compromised, it is easily dumped, or restored back to a known safe snapshot. Ideally, it would be nice to have some deduplication capability present on the /system partition (if looking at an Android model), so multiple VMs take up as little space as possible, while still providing encryption and separation.

      There is a lot of research a company could do, if making a phone as a primary computing device. Perhaps a wireless standard to allow charging, as well as streaming video, and using a HID, so the phone can be tossed on top of a dock, and it can function as a desktop, similar to the old Motorola Atrix line, but wirelessly.

  8. Re: I DROPPED MY PHONE IN THE LOO by Anonymous Coward · · Score: 0

    Oh fuck off.

  9. An irony (?) by Anonymous Coward · · Score: 0

    The CEO of Microsoft is an Indian. One of his first moves was to direct Microsoft's withdrawal from the phone market.

    1. Re:An irony (?) by Lobachevsky · · Score: 2

      Any CEO of Microsoft, even if they hired an orangutan, would have withdrawn from the phone market, because Windows Mobile is junk and you can't even convince illiterate people to get one instead of an Android.

    2. Re:An irony (?) by alex67500 · · Score: 0

      I don't think this is much of an Irony. Microsoft is a software company, not hardware. Sure, their Surface sells reasonably well, but they're more touch-enabled laptops than tablets. The phone market was already too full when MS arrived. It makes sense that they retired (and it most likely isn't permanent).

    3. Re:An irony (?) by Anonymous Coward · · Score: 0

      I meant they pulled Windows Phone OS, not MS branded phones, if there were any.

    4. Re:An irony (?) by ctilsie242 · · Score: 1

      Microsoft still makes money hand-over-fist in the mobile department with their patents. They really don't need to do much in that field other than sit back and take the licensing fees. Windows Mobile was a decent OS... but developers just won't bother with a third platform.

      Ironically, before Android and iOS, WM was the most popular smartphone OS out there.

    5. Re:An irony (?) by Plus1Entropy · · Score: 1

      He's also an American, so it's more like double-reverse irony.

      --
      Only crack the nuts that crack. You don't put the ones that don't crack in the sack.
    6. Re:An irony (?) by Anonymous Coward · · Score: 0

      Yeh. Same predicament as Ubuntu One.

    7. Re:An irony (?) by Anonymous Coward · · Score: 0

      Before Android and iOS it was the only real mobile operating system. Blackberries were souped up feature phones. I used windows mobile smart phones for many years (long before Android or iPhones existed) until I switched to my Samsung S2. By that point it became clear MS had no clue what they were doing in that market and I've been with android ever since. I went though a Toshiba E335 (Not technically a smart phone but I bluetooth tethered it to my flip phone of the time for Internet , so I could do all the same email and web stuff you do on a smart phone today) then a TMobile HTC MDA, then an HTC HD2 then that's when i jumped ship

    8. Re:An irony (?) by Anonymous Coward · · Score: 0

      Microsoft never arrived to the smart phone market, they were the smart phone market before the iPhone and Android existed. They just had no clue how to market it and advance it and quickly went by the wayside

    9. Re:An irony (?) by Anonymous Coward · · Score: 0

      Check out these old beasts of a smart phone http://pocketpccentral.net/smartphone/help/general/smartphone_ppcp.htm

  10. Good. Smartphones cause brain damage. by Seven+Spirals · · Score: 1

    Not being a huge fan of India, I'm fairly sanguine about the news. Smartphones are mostly an scourge on concentration and social skills. Let the Indians lap them up and poison their kids and culture with them, too. If they didn't they'd have more than just the H1B program helping them trash the American job market - they'd have an actual *advantage* (other than only being cheap, English speaking, and numerous like today).

    1. Re:Good. Smartphones cause brain damage. by Anonymous Coward · · Score: 0

      Why stop there? Maybe we can spray the phones with smallpox before they ship out, rig them to explode, shoot blinding lasers, etc, etc.

  11. Shitty measurement by houghi · · Score: 1

    India's stands at over 1.3 billion while the U.S. is around 320 million

    That shows that it means nothing. It is like saying "China has more schools than Luxemburg".
    What you need is at least comparing it per capita. and then we see the US in place 118 and India in place 158.

    --
    Don't fight for your country, if your country does not fight for you.
    1. Re:Shitty measurement by Anonymous Coward · · Score: 0

      Very good point. Another web page factors in cell and fixed line usage, and has Luxembourg 1, The U.S. 41, China 69 and India 144.

    2. Re:Shitty measurement by Anonymous Coward · · Score: 0

      never mind the fact that nearly everyone in the u.s. that wants one has one.. so "new customer rate" is also tied to birth and immigration rates; and also, the annual upgrade train has slowed...

    3. Re:Shitty measurement by Anonymous Coward · · Score: 0

      This does matter because it doesn't stop with volume. They have so much room left to grow that the total sales value and profit will follow sooner than later. As that happens, our influence on the direction of development starts to fail, and the chances of their companies better serving their needs than ours increase. It is a true threat to the survival of our tech business, at least as American. Our corporations can always move.

  12. Yeah, but... by Anonymous Coward · · Score: 0

    Knowing India, most of the sales are knockoff iPhones running horribly compromised Android builds.

    1. Re: Yeah, but... by Anonymous Coward · · Score: 0

      Which is almost like running a regular Android build.

      If you want secure Android, use CopperheadOS.

    2. Re: Yeah, but... by Anonymous Coward · · Score: 0

      That still have more features than the iphon

  13. USA #3 USA #3 by Anonymous Coward · · Score: 0

    #MAGA

    1. Re:USA #3 USA #3 by Anonymous Coward · · Score: 0

      Derp.

  14. Of Course! by Anonymous Coward · · Score: 0

    All those folks need the GPS capabilities to find the nearest designated shitting street.

    1. Re:Of Course! by Anonymous Coward · · Score: 0

      Why are you so concerned with feces, good sir? Sounds like you're a little obsessed with feces. Is there something we should know?

    2. Re:Of Course! by Anonymous Coward · · Score: 0

      Worms.

  15. Who cares? by Anonymous Coward · · Score: 0

    Smartphones are not an indication of quality of life. Wealth and power are, and in those two measures the USA is still unquestioningly #1.

  16. Factor out the junk, US reclaims title by edgedmurasame · · Score: 1

    A bunch of low-end phones isn't exactly the way things go.

    --
    "Forget the engineers." -Carly Fiorina, briber of MIT Technology Review.
  17. Re: I DROPPED MY PHONE IN THE LOO by Anonymous Coward · · Score: 0

    why cause what he said was true?

  18. Re: I DROPPED MY PHONE IN THE LOO by Anonymous Coward · · Score: 0

    Same thing.

  19. Re: I DROPPED MY PHONE IN THE LOO by Anonymous Coward · · Score: 0

    No shit, Sherlock.

  20. How are their phone prices? by Anonymous Coward · · Score: 0

    I bet the latest iPhone model doesn't cost $1k in India like it does in the U.S.

  21. There is some trouble brewing. by 140Mandak262Jamuna · · Score: 2
    In India there is no standard universal ID that could be used to track you and find you. If you don't look like a foreigner you can disappear into the crowds and acquire an Indian identity and passport. So many people from Pakistan, Nepal, Bangladesh and Burma have done that. Government is trying to create something called Aadhar (meaning proof) to create a nationwide id system. Lots of opposition to Aadhar.

    Government wants the cell phones to be tied to Aadhar. To combat terrorism, they say. Some states are opposing this.

    This requirement could drag down phone sales and market size. Or a scramble to acquire more burner phones before the Aadhar tie up is completed.

    --
    sed -e 's/Chuck Norris/Rajnikant/g' joke > fact
  22. By units but not revenue by larryjoe · · Score: 1

    The average selling prices in India are far lower than in many other countries, so India still has quite a ways (i.e., many years) to catch the US in terms of revenue. See this link for some idea of the units and revenues. [The link shows stats per region, but North America is dominated by the US, and emerging Asia is dominated by India.] The average selling prices in India, China, and the US are $180, $332, and $400, respectively.

  23. Oh, I've noticed by Anonymous Coward · · Score: 0

    A bunch of games I play have global chat (split into channels obviously, due to sheer number of users).

    I see the dumbass Indians saying dumbass things, most often:

    1. "I am your father"

    2. "Who here is girl?"

    The poor, uncivilized trash is getting online. This is like teaching Alabamans to read. It's a form of progress, but it very definitely takes the world backwards.

  24. Re: I DROPPED MY PHONE IN THE LOO by Anonymous Coward · · Score: 0

    No shit, Sherlock.

    ...yet. Wait for it....