The Chinese mobile market experienced 4.8% growth rate in the first quarter of 2008 on account of rising population, better service and shift from fixed line phones to mobile phones.
According to CCIDC Consulting Company, Smartphone sales in China increased 4.8% during the first quarter of this year against the last quarter of 2007, as reported by The Economic Times.
CCIDC has also given figures of sold Smartphones in the first quarter of 2008, over 8.24 Million Units that was a 19.1% of total phones sold during that period. Besides, the net sales value of mobile phone surged to 20.4 Billion Yuan (USD2.91 Billion) in period span from January-March 2008. This was 7.6% more than the same period sale of last year. Further, China has a strong base of 574 Million mobile phone subscribers by the end of March 2008.
The boost to rapidly growing Chinese mobile market has come from its own customers, as it is the world’s largest market with the highest number of users. As more and more Chinese people are switching to mobile phones from fixed line phones because they like use Internet, and listen music on their mobile phones, the mobile phone market will continue to expand. Surprisingly, the use of mobile phones is continuously increasing at homes due to improvement in signals, quality and cheaper and competitive costs alongwith the option of having all contacts within the phone.
Moreover, the thrust to the Chinese mobile market is given by drop in handset prices that have made mobile phones affordable for people in rural areas. Price reduction has attracted middle class people to subscribe for mobile services and buy new cell phones. According to CCIDC data, China has over 500 Million mobile subscribers but still a big proportion of Chinese population doesn’t own mobile phones. The figures indicate to the low penetration level in the country and give an impression that industry will grow in future as well.
According to a research analyst at RNCOS, “With rising living standard of Chinese people, the use of mobile phones has gone up and people become more open to use mobile phones. The economic boom and technological development together with growing population are taking the mobile industry to new heights.”
Related Market Research Reports:
Srilankan ICT Market Analysis
China Telecom Analysis (2008-2012)
Indian Telecom Analysis (2008-2012)
