Smartphone Sales Continue To Tumble In 2016 - InformationWeek

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6/7/2016
01:05 PM
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Smartphone Sales Continue To Tumble In 2016

Smartphone sales will continue to slow in 2016, with 7% market growth, a decrease of 14.4% in 2015, according to Gartner.

(Image: TA2YO4NORI/iStockphoto)

(Image: TA2YO4NORI/iStockphoto)

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moarsauce123
50%
50%
moarsauce123,
User Rank: Ninja
6/17/2016 | 7:37:33 AM
Make data plans much less expensive
The only way that more growth can be initiated is by making data plans much less expensive. Buying the phone is a one time expense, but operatng a phone remains a major cost. I'd get a smartphone if truly unlimited data plans were available for 20$ per month or less. Right now, the least expensive plans clock in at more than twice that and come with restrictions and long term agreements. For what it does it just costs way too much.
Aroper-VEC
50%
50%
Aroper-VEC,
User Rank: Strategist
6/16/2016 | 9:19:02 AM
Is this a surprise?
No surprise here. I think the technology has reached a nexus of sorts. There's only so much more that a phone can do and incremental upgrades aren't compelling enough for most users to upgrade if the device they have still does everything they want. Couple that with a move from cellular providers away from phone subsidies and you have a scenario where people are now scrutinizing the value of a new $600-$800 smartphone.

When something new enters a market and there is no equivalent it is easy for there to be year-over-year increases in sales until you reach market saturation. Once that point is reached, older devices will need to be replaced and/or upgraded but this won't happen at the same clip as the initial adoption. Along with that, you now have a used device market that didn't exist previously and this will also drag on new device sales.

Wearables was supposed to be the next big "thing" but that hasn't been the case. I think that if we had better battery technology we'd have a stronger wearables market and higher adoption. Engineers have some really great ideas but are handicapped by a lack of reliable, portable, long term power.
jastroff
50%
50%
jastroff,
User Rank: Ninja
6/8/2016 | 11:01:12 AM
Re: Tumbling?
A drop in sales is a decline; predictions are not high for smartphones. The same thing happened with PCs in the 90s. The vocabulary of markets is different from other spheres. So, "tumbling" would seem appropriate. 
BrooklynNellie2
0%
100%
BrooklynNellie2,
User Rank: Moderator
6/7/2016 | 2:08:10 PM
Tumbling?
What's tumbling? You call 7% growth "tumbling"? Nice hyperbole. Did you just transfer over from BuzzFeed?
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