Story image

Used smartphones a 'disruptive force' to the global market

22 Nov 16

The market for used and refurbished smartphones has witnessed rapid growth over the past several years, according to IDC.

IDC’s latest report, Worldwide Used Smartphone Forecast - 2016-2020, shows a wide variety of trade-in and buyback programs across multiple channels and platforms.

These types of programs have appeared in Asia, the United States and Western Europe over the past three to five years.

IDC predicts that the market for used smartphones will grow from 81.3 million devices in 2015 to 222.6 million units in 2020.

Anthony Scarsella, research manager for IDC’s Mobile Phones program, says the demand for refurbished smartphones is already becoming constrained in some countries.

“Mobile operators are the most constrained given the need for replacement devices for customers who have purchased device insurance plans,”he explains.

“In addition, used handsets provide an additional option for customers with subprime credit making them ineligible for equipment installment plans. With the average selling price for a used device expected to be $136 in 2020, the total market value for used devices in 2020 will be an estimated $30 billion.”

According to IDC's taxonomy, a refurbished smartphone is a device that has been used and disposed of at a collection point by its owner.

Will Stofega, program director of Mobile Phones at IDC, says the used smartphone market will impact OEMs, mobile operators, and component suppliers.

“Thus IDC has committed new resources to help customers understand and plan for this new and potentially disruptive force,” he explains.

“Although there is a potential downside to mobile ecosystem suppliers, IDC believes that the used smartphone market also presents new opportunities to grow revenue and increase market share.”

Workday customers start deployments to AWS infrastructure
Business software vendor Workday has turned it's previously announced AWS partnership into a reality.
Royole's FlexPai: So bendable phablets are a reality now
A US-based firm called Royole is delivering on that age-old problem of not being able to fold up your devices (who hasn't ever wished they could fold their phone up...)
How to leverage cloud for data-driven business ops
The next gen of cloud-based data platform services are flexible and cost-effective so even small organisations can unlock data insights.
What MSPs can learn from Datto’s Channel Ransomware Report
While there have been less high profile attacks making the headlines, the frequency of attacks is, in fact, increasing.
Cisco expands security capabilities of SD­-WAN portfolio
Until now, SD-­WAN solutions have forced IT to choose between application experience or security.
IDC - Global digital transformation spend to near $2T by 2022
Hardware and services spending will account for more than 75% of all DX spending in 2019.
AlgoSec delivers native security management for Azure Firewall
AlgoSec’s new solution will allow a central management capability for Azure Firewall, Microsoft's new cloud-native firewall-as-a-service.
Gartner - Global RPA spending hitting its stride
The biggest adopters of RPA today include banks, insurance companies, utilities and telecommunications companies.