The changing lifestyle of consumers powered by smart and intelligent gadgets is opening up new revenue streams for the smartphone industry. In fact, smart devices are expected to generate more revenue for smartphone original equipment manufacturers (OEMs) versus revenues from smartphones.
Research firm Techarc estimates that smart devices will generate a revenue of $54 billion in India in 2021 while the revenue contribution of smartphones will be slightly more than 70%.
After 2021, revenue contributions from smartphones will taper off to 60% by 2023, and by 2025, it will account for about half of the revenues for these OEMs, the firm said.
“Smartphone OEMs have taken a proactive stance to evolve as the Smart Tech-Style partners of consumers. Though initially, in many instances it appeared as a push from some of these brands which introduced smart devices at an early stage, the consumers have welcomed the shift and embraced these brands in other categories as well,” it added.
In recent years, the industry has seen smartphone makers like Xiaomi, Samsung, Oppo, Vivo, Realme, OnePlus, and others expanding their portfolio with the launch of smart TVs, smartwatches, true wireless (TWS) earbuds, and more.
“As such, brands who worked on building and nurturing communities and earned emotional equity got well-positioned as the smart tech-style partners. Xiaomi, Realme, and OnePlus are a few examples that saw success through this community-led approach,” Techarc said.
Out of 17 possible smart devices and gadgets that are available in the market, Xiaomi offers 14 and leads over smartphone OEMs with the choice in the entire smart tech-style portfolio.
It is followed by smartphone incumbent Samsung with 12 smart tech-style offerings.
Among the youngest smartphone brands, Realme has evolved as another smart tech-style brand in the affordable segment and is offering 11 devices and gadgets.
Motorola and Lenovo, in fourth and fifth positions, offer 10 and 9 smart devices, respectively.