Smart devices swing to emerging markets

Global shipments of smart connected devices (PCs, tablets, and smartphones) are expected to surpass 1.7 billion units by 2014, with roughly one billion units delivered to emerging markets, according to IDC.
 
The emerging markets are expected to grow at a CAGR of 17% over the 2012-2017 forecast period, compared to the 7% CAGR expected in developed markets.
 
The BRIC countries -- China, India, Brazil, and Russia -- are expected to generate shipments of 662 million units with a shipment value of more than $206 billion (€154 billion) in 2014.
 
This outpaces shipments to developed markets, which is estimated at some 650 million units. The United States, UK, and Japan will capture more than 400 million units valued at $204 billion.
 
IDC reports that in terms of product categories, the smart connected device market will be largely driven by the growing demand for smartphones and tablets in both emerging and developed markets. Of the forecast shipments for 2014, more than 1.4 billion units are expected to be smartphones and tablets, representing more than $500 billion in value.
 
“It is evident that smartphones and tablets have successfully established a strong presence as the 'second screen', owing to the transformation in usage patterns, device affordability, and, most of all, the comfort of a mobile and digital lifestyle,” said Megha Saini, research analyst at IDC.
 
With the rise in global smartphone and tablet shipments, the average selling price of these mobile computing devices is steadily decreasing.
 

This pattern of decreasing price points is most prominent in emerging countries where IDC expects sub-$300 smartphones and sub-$350 tablets to drive huge shipments in 2014 and beyond.