Google IO 2016 Coverage

Smartphone Sales Will Nearly Double PCs This Year and Reach 1.5 Billion in 2016

More bad news for PC makers. Business Insider Intelligence released their latest forecast of global smartphone sales, and the numbers are staggering. Recently, smartphone sales surpassed PC sales for the first time, and this year smartphone sales will nearly double PC sales. More amazing, however, is that BI Intelligence predicts that by the year 2016, smartphones will exceed 1.5 billion units sold worldwide.

For comparison, last year there were only 350 million PCs sold, and the total number of mobile phone handsets sold (smart AND dumb) totaled 1.7 billion. Right now, smartphones make up only 10% of all handsets sold. As prices decline, nearly 5 billion existing dumb phones will be getting replaced by smartphones.

The following chart speaks for itself.

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IMS Research Says Global Smartphones Sales Will Top 420 Million Devices in 2011

According to IMS Research, a leading independent supplier of market research, sales of smartphones will come in at over 420 million device by the end of this year .  This will account for roughly 28 percent of the handset market as the research shows.  According to the company, with the release of more and more “entry-level” smartphones, we could see one billion devices sell by 2016.

According to IMS, despite how well mobile sales are going, not all companies will ultimately benefit from the trend.  IMS uses LG as an example, pointing to the fact that though they were the third largest OEM world wide, they barely exhibited any innovation over the past several years, subsequently causing the company to reach less than three percent of the market share in 2010.

The same source also notes that Nokia took a hit so devastating (see chart) they went to bed with Microsoft for its Windows Phone operating system, abandoning its very own Symbian platform.  Sales for the company dropped 34 percent from last year.   Read more