DIGIVESTASI - India is the second-largest smartphone market in the world after China, with 750 million smartphone users. However, the country faces challenges in attracting new smartphone users due to the inability of many citizens to afford these devices.

Reportedly, 350 million Indians prefer to buy feature phones or 'dumb phones' instead of switching to new smartphones. Feature phones have a simpler display and features, generally providing only basic interaction capabilities.

A report from TechCrunch indicates that many Indians continue to choose feature phones or upgrade to newer feature phone models. This phenomenon has driven an increase in feature phone sales in India. According to research firm Counterpoint, feature phone sales growth in India rose by 10% year-on-year (yoy) last year, contrasting with a negative growth of 31% in 2022. This increase occurred because feature phone users were reluctant to switch to smartphones.

Sales of 4G phones as a percentage of total feature phones in the market grew to 25% in 2023 compared to 9% in 2022. However, 2G feature phones still dominate the Indian market with a 75% market share, according to the report cited on Monday (15/7/2024).

Reliance Jio, India's telecommunications giant, leads the 4G feature phone market with a 27% market share, followed by Itel with 24% and Lava with 18%. Counterpoint's Director of Research for Devices and Ecosystems, Tarun Pathak, said that Jio's 4G feature phones have adopted many smartphone capabilities. This appeals to Indians because, at a much lower price, they can enjoy some smartphone functionalities on feature phones.

In 2017, Jio launched the first 4G feature phone 'JioPhone' with the KaiOS operating system, which quickly became the most popular feature phone in India. This phone supports popular apps like Facebook, WhatsApp, and YouTube on its small screen.

Last year, Jio introduced the Jio Bharat priced at US$12 (Rp 194,000) and the successor to the JioPhone named JioPhone Prima. These phones have helped boost the 4G feature phone market in India and hindered smartphone adoption.

According to an IDC report, the smartphone market in India is still growing at 11%, driven by the adoption of premium phones from the iPhone series and Galaxy S24. However, low-cost phones priced at US$100 (Rp 1.6 million) have seen a 14% yoy decline with a 15% market share, down from a 26% market share in 2020 and 20% in 2021.

Experts attribute the declining interest in entry-level phones to many people opting for cheaper feature phones that already support popular applications.

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