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50 percent of handsets will be low-cost by 2014 V.J. | , 10:56 p.m. Aug. 11, 2009 2009-08-11

Jupiter Research has recently published a study that suggests that by 2014 over 50 percent of the handsets will present low-end features. The phones will mainly be bought in developing areas.

The study writes that mobile phone operators will have to find ways to deal with a massive influx of new users from low-income socio-economic groups in developing markets.” However, demand for high-end smartphones will continue to rise in developed markets.

Low-cost handset shipments will number more than 700 million in 2014, up by 31% from levels seen in 2008, albeit down slightly from a peak of 716 million in 2012 as some users begin to upgrade to costlier devices. At the same time, smartphone shipment volumes will grow continuously across the forecast period, reaching almost 360 million by the end of the period. We therefore expect that mid-range device sales volumes will fall by more than 41% over the period,” said Andrew Kitson, the author of the study.

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