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Dirt-cheap smartphones are the wave of the future

27
Nov
2013

Smartphone shipments are expected to equal one-seventh of the Earth’s population by the end of the year, but how has the market maintained its momentum? Easy: lower prices. According to an IDC forecast, smartphones are expected to see 39.3% year-over-year growth in 2013, while their average selling prices (ASPs) will decline 12.8%, from $387 to $337. “The game has changed quite drastically due to the decline in smartphone ASPs,” said IDC Program Director Ryan Reith. “Given the trajectory of ASPs, smartphones are now a very realistic option to connect billion users.” Emerging markets hold the key to the continued rapid ascent of worldwide smartphone shipments, as vendors attempt to balance profit and market growth. Prices will fall and

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