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Cheap mobile phones ‘set to take over’

Cheap mobile phones ‘set to take over’

Cheap mobile phones are set to dominate handset sales in years to come, it has been predicted, despite the acres of news coverage afforded costlier more technologically advanced smartphones.

According to forecasts from Juniper Research, sales of low cost handsets will rise to 700 million units by 2014.

Should this prove to be the case it would see budget mobiles account for over 50 per cent of the entire mobile phone market.

Smartphone sales, meanwhile, are expected to stand at around 360 million, while mid-range mobiles will become less and less sought-after.

Demand for lower priced phones is expected to be driven principally by countries in the developing world – a trend Nokia is currently capitalizing on with models designed for multiple users in Indian villages.

Juniper predicts that shifts in the market will prompt a change in strategy from “players operating in the mid-range market such as Sony Ericsson and Motorola”.

News of the findings comes as high-end devices such as the new iPhone 3G S and the Nokia N97 have dominated the news agenda in the phone sector over the last six months.

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