As the country battles with the second — and more severe — wave of Covid-19, the Indian smartphone market is also getting impacted by it, claims the latest report by IDC.
“While the vaccine roll-out program at the beginning of the year instilled positive sentiments, the onset of the second wave of COVID-19 infections towards the end of the quarter resulted in subdued consumer demand,” said IDC in the report.
However, the market research company doesn’t expect the impact to be as grim as it was in 2020. “The April-June quarter is expected to face growth challenges under the weight of the second wave of infections. However, the high shipments from the first quarter should be able to suffice for the immediate demand,” said Navkendar Singh, research director, client devices & IPDS, IDC India.
He attributed this to the fact that factories are operational as of now and only limited restrictions are imposed on logistics/transportation lastly there are state-level lockdowns instead of a nationwide lockdown.
Even with high uncertainty as of now, IDC expects a rebound in consumer sentiments in the second half of 2021, resulting in a single-digit growth annually. However, the degree of growth is said to be restricted due to reduced discretionary spending, supply constraints and anticipated price hikes in components in upcoming quarters.