India’s 4G smartphone shipments to grow 3 pc as price gap with 5G widens

Rising component costs are widening the price difference between 4G and 5G smartphones in India, prompting more price-conscious consumers to opt for 4G devices, according to a report by market research firm Counterpoint Research.

The shift is particularly visible in the entry-level and budget segments. Consumers looking for smartphones priced below Rs 10,000 and between Rs 10,000 and Rs 20,000 are increasingly choosing 4G models as higher costs push many 5G devices into more expensive price brackets.

Counterpoint Research noted that the number of original equipment manufacturers (OEMs) offering 4G smartphones in the Rs 10,000-Rs 20,000 segment has increased substantially. Only two manufacturers offered such devices in the segment in 2025, compared with 12 so far in 2026.

“This growing portfolio is positioning 4G as a broader value proposition, giving consumers a balance of price, specifications and performance as rising costs push 5G smartphones into higher price bands,” said Prachir Singh, Senior Analyst at Counterpoint Research.

The research firm said the renewed demand for 4G smartphones may represent more than a temporary response to higher device prices. With component costs unlikely to return to earlier levels in the near term, 4G devices could continue to occupy a larger portion of the market.

Counterpoint Research Research Director Tarun Pathak expects 4G smartphones to increase their share of India's smartphone market from 13% in 2026 to 15% in 2027.

“We expect this broader price-value positioning to support continued 4G demand, while encouraging OEMs to expand their portfolios with more capable 4G devices,” Pathak said.

The trend in India comes amid broader pressure on the global entry-level smartphone market. An earlier report this month projected that worldwide shipments of smartphones priced below $200 could decline by around 40% between 2025 and 2030.

The entry-level segment is expected to face the sharpest decline, with increasing component costs and higher minimum hardware specifications making the production of ultra-low-cost smartphones more challenging.

The developments suggest that while 5G adoption continues, affordability remains a significant factor in purchasing decisions, particularly among consumers in India's lower-priced smartphone segments.