Mobile Phone Industry: Depreciation in Your Smartphone

Mobile phone industry is the fastest growing industry worldwide in this large communication industry. The number of smartphone users has reached to 2.1billion by 2016 and it is expected to reach by 5 billion by 2020. China, one of the most populous countries in the world leads the cell phone industry. United States also takes lead in the mobile phone industry.

Mobile Phone Industry Facts & Stats

1.5 billion smartphones have been sold by 2016 either Android or iOS operating system. The Android operating system takes the lead by 80%. On the other side, iOS operating system holds 15% of the market.

1.4 billion smartphones have been shipped worldwide by 2015. It is expected to shipped 1.8 billion smartphone by 2018.

Mobile industry in india has overtaken the united states to become the second largest mobile phones market in the world.

mobile phone industry :statistics

History of cell phone industry

In 1946, AT&T introduce mobile phone services in one hundred towns weighted about 80 lb. Calls were set up manually and only 3 customers can make a call from one city at the single time. The first major improvements launched in 1965 named as IMTS allowed more calls simultaneously, reduced weight and size. RCC was introduced in the 1960s in competition of AT&T & IMTS. Motorola was the first company to launch a handheld cell phone in 1973.

mobile phone history

First cellular system (1G) has been used in Tokyo in 1979, it was commercially introduced in 1986 in America. The phone used to cost $100 with a talk time of 35 minutes and took 10 hours to charge then. 2G system was launched in 1992, Initially, it was available for GSM networks with features of calendar, email, notepad, touchscreen. Later it spread on all digital networks with more features like access to media content. The first 3G network was launched in Tokyo in 2001.NTT DoCoMo was the first company to launch the 3G network. The mobile industry had optimized for more advance technology and had shifted to the 4G network.

Recommended Read : Why reselling of smartphone is better than than recycling?

Mobile Phone Industry Manufacturing

Mobile phone manufacturer process starts with conceptual phase. The team decides the prototype and functionality of the mobile phone which has been created for a visual purpose on reusable material and the concept are being forwarded to the engineers. The parts and the software is decided based on the mobile; the software is designed from a very basic feature like text messaging even in the advance phone. Each component of the smartphone is created separately. After all the component creation, they are finally assembled and sent for testing. After the complete verification of components, the phone is packed and shipped to the retailers.

India’s mobile manufacturing industry is about to reach Rs 135,000 crore by 2020. About 96% of the mobile phone will be only manufactured in India by 2020. Other mobile phone industry hub, China, local manufacturing system growth rate is 70 percent.

Mobile phone manufacturing

Why Mobile Phone Value Depreciates Each Day?

According to the study, iPhone can be sold out for 53% of their original price, android for 42% of their original price and blackberry for 41% of their original price after 18 months.

iPhone is the company which supports their phone for years and when it comes to Android phone they are not supported after 18 months of purchase. Surprisingly, iPhone 5S is still used by the users because it is well built and apple still supports it. There is no other company in the cell phone industry as compared to apple in terms of after-sale support. Samsung uses their own processor in their mobile phone because they can not afford to use Exynos processor in their smartphone and this is one of the lacking points of Samsung. But you can’t get long-term support from any company in the android mobile industry even from google.

Every company is releasing the future mobile phones every year, which are faster, prettier, advanced with respect to previous one. This automatically decreases the value of the previously launched phone and the resale value automatically drops. It doesn’t end here, the value of your mobile phone also depends on its quality the current condition.

It is always recommended to sell your old phone within the next 18 months to get the good value of your mobile phone and buy a new future mobile phone. Be with the trend always 🙂