US Smartphones Market Overview:
United States Smartphones Market Size was valued at USD 61.5 Billion in 2022. The Smartphone market industry is projected to grow from USD 62.4 Billion in 2023 to USD 70.3 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 1.50% during the forecast period (2024 - 2032). The rise in disposable income, the expansion of telecommunications infrastructure, and the emergence of affordable smartphones aimed at budget-conscious consumers are the main market drivers anticipated to propel the smartphone market in the United States.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
US Smartphones Market Trends
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Ever-growing Demand for 5G-Compatible Smartphones and Technological Advancements are Driving the Market Growth
The smartphone industry has experienced steady growth, both in market CAGR and product diversity. As of 2021, approximately 40% of the global population owned a smartphone. These devices, powered by leading operating systems such as iOS (Apple) and Android (Google), offer intuitive user experiences and robust app ecosystems. Anticipated advancements in smartphones include the integration of innovative technologies like 5G connectivity, foldable displays, AI-driven enhancements, and enhanced security features. In 2024, Apple leads the yearly market share in the United States with 61.26%, followed by Samsung at 22.63%. Combined, they hold the majority of the market share at 83.89%. Lenovo-owned Motorola secures the third position with 3.50%. The US Census Bureau estimated the value of smartphone sales at USD 74.7 billion in 2022-2023. As for the top 5 brands in the US in Q1 2024, Apple leads with a quarterly market share of 61.26%, followed by Samsung at 22.63%, Motorola at 3.50%, Google at 2.40%, and Xiaomi at 1.14%.
Technological advancements are propelling the growth of the United States smartphone market and driving the smartphone market revenue. Continuous innovation in smartphone technology keeps consumers engaged and drives frequent upgrades, leading to heightened demand for the latest devices. Notable advancements span various aspects, including hardware enhancements such as increased processing power, expanded memory capacity, and enhanced camera capabilities.
US Smartphones Market Segment Insights:
Smartphone Operating System Insights
The United States smartphone market segmentation, based on Operating System, includes Android Smartphones and iOS Smartphones. The android smartphones segment dominated the market mostly. In the United States, Android represents a substantial portion of the operating system market, with a diverse array of smartphones offered by multiple manufacturers. Renowned for their versatility and customizable features, Android smartphones are particularly favored among tech enthusiasts and consumers mindful of their budgets. With their affordability and widespread availability across various price brackets, Android devices enjoy higher adoption rates in the mid-range and budget segments of the market. They cater to consumers who prioritize a range of features at competitive price points.
Figure 1: United States Smartphones Market, by Operating System, 2023 & 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Smartphone Storage Capacity Insights
The United States smartphone market segmentation, based on Storage Capacity, includes 32GB, 64GB, 128GB, 256GB, and 512 GB. The 256GB category generated the most income. With the rise of streaming services, consumers are consuming more digital content on their smartphones, including movies, TV shows, and music. Larger storage capacities allow users to download and store more media content for offline viewing, enhancing the overall user experience.
Smartphone Price Range Insights
The United States Smartphones market segmentation, based on Price Range, includes Low-range Smartphones (Below $200), Mid-range Smartphones ($200-$500), and Premium Smartphones (Above $500). The mid-range smartphones ($200-$500) category generated the most income. T Mid-range smartphones strike a balance between cost-effectiveness and feature richness, offering consumers a compelling value proposition. These devices typically boast a variety of advanced features, including respectable camera capabilities, adequate processing power, and contemporary design aesthetics, making them appealing choices for individuals in search of high-quality smartphones at reasonable prices.
Smartphone Distribution Channel Insights
The United States smartphone market segmentation, based on Distribution Channels, includes Online/e-Commerce and Physical Retail Stores (Offline). The online/e-commerce category generated the most income. As consumers continue to prioritize convenience, the trend of purchasing smartphones from online platforms like Amazon, and Best Buy, or directly from manufacturer websites is on the rise. This channel provides a wide array of smartphone options from numerous brands, granting shoppers extensive choices and facilitating easy price comparisons. Online sales are particularly favored by tech-savvy and budget-conscious consumers who appreciate the convenience of doorstep delivery and exclusive online deals. Online platforms frequently host flash sales and promotions, capturing a significant portion of the market, particularly among younger consumers and those accustomed to digital transactions. This shift toward online purchasing reflects the evolving preferences of modern consumers, who prioritize convenience, variety, and competitive pricing in their smartphone shopping experience.
Smartphone End Users Insights
The United States smartphone market segmentation, based on End Users, includes Retail, Media & Entertainment, IT & Telecom, and Others. The media & entertainment category generated the most income. In recent years, mobile gaming has experienced a surge in popularity, with smartphones emerging as the preferred gaming platform for millions of users. The wide selection of gaming titles available, combined with advancements in smartphone technology, has transformed gaming into a captivating and immersive experience on mobile devices. This trend has played a significant role in driving growth within the Media & Entertainment segment as users increasingly invest both time and money in gaming-related content and services.
Smartphones Country Insights
The smartphone market encompasses a wide range of price points, catering to diverse consumer segments with varying features and functionalities. Powered by leading operating systems like iOS (Apple) and Android (Google), these devices offer intuitive user experiences and robust app ecosystems. With ongoing advancements, smartphones are poised to integrate even more innovative technologies, including 5G connectivity, foldable displays, AI-driven enhancements, and enhanced security measures. Projections indicate a significant increase in the adoption of 5G-compatible smartphones worldwide, with sales expected to rise by 29 percent from approximately 550 million in 2021 to 710 million in 2022. North America, particularly the United States, is expected to contribute significantly to this growth, with an estimated 215 million 5G connections projected in 2023, driven by strong 5G smartphone shipments. The future outlook for the United States smartphone market is promising, as it continues to evolve and revolutionize the way individuals interact with technology and the world around them. With ongoing technological advancements and the adoption of innovative features, smartphones are poised to remain indispensable tools for communication, productivity, and entertainment for consumers across various demographics.
US Smartphone Key Market Players & Competitive Insights
Leading market players are investing heavily in research and development to expand their product lines, which will help the Smartphones market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the Smartphone industry must offer cost-effective items.
Major players in the Smartphone market are attempting to increase market demand by investing in research and development operations, including Apple Inc., Google, HHCS Handheld USA, Motorola Mobility, and Purism.
Key Companies in the Smartphones market include
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Apple Inc
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Google
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HHCS Handheld USA
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Motorola Mobility
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Purism
Smartphones Industry Developments
September 2022: In September 2022, Apple introduced the iPhone 14 and iPhone 14 Plus, available in two sizes: 6.1 and 6.7 inches. These models boast a sleek design, notable camera improvements, and innovative safety features. Equipped with a robust camera system, including main and front True Depth cameras, as well as an Ultra-Wide camera for capturing unique perspectives, the iPhone 14 series delivers exceptional image and video quality. Additionally, the inclusion of the Photonic engine and an upgraded picture pipeline further enhances the overall photography experience.
October 2022: In October 2022, Huawei unveiled the release of its newest antenna solutions designed for the next stage of 5G antenna development, which encompassed the Maxwell platform and the X2 antenna series. These cutting-edge technologies were aimed at improving antenna integration and setup capabilities, thereby enabling carriers to expedite the deployment of 5G networks.
US Smartphones Market Segmentation:
Smartphone Operating System Outlook
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Android Smartphones
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iOS Smartphones
Smartphone Storage Capacity Outlook
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32GB
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64GB
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128GB
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256GB
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512GB
Smartphone Price Range Outlook
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Low-range Smartphones (Below $200)
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Mid-range Smartphones ($200-$500)
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Premium Smartphones (Above $500)
Smartphone Distribution Channel Outlook
Smartphone End Users Outlook
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Retail
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Media & Entertainment
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IT & Telecom
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Others
| Report Attribute/Metric |
Details |
| Market Size 2022 |
USD 61.5 Billion |
| Market Size 2023 |
USD 62.4 Billion |
| Market Size 2032 |
USD 70.3 Billion |
| Compound Annual Growth Rate (CAGR) |
1.50% (2024-2032) |
| Base Year |
2023 |
| Market Forecast Period |
2024-2032 |
| Historical Data |
2019-2022 |
| Market Forecast Units |
Value (USD Billion) |
| Report Coverage |
Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered |
Operating System, Storage Capacity, Price Range, Distribution Channel, End Users, and Region |
| Countries Covered |
United States |
| Key Companies Profiled |
Apple Inc, Google, HHCS Handheld USA, Motorola Mobility, and Purism |
| Key Market Opportunities |
Growing internet penetration worldwide Increasing younger population globally |
| Key Market Dynamics |
Increasing investment by manufacturers in R&D Growing preference for premium smartphones |
Frequently Asked Questions (FAQ) :
The United States smartphone market size was valued at USD 62.4 Billion in 2023.
The market is projected to grow at a CAGR of 1.50% during the forecast period, 2024-2032.
The key players in the market are Apple Inc., Google, HHCS Handheld USA, Motorola Mobility, and Purism.
The Android Smartphones category dominated the market in 2023.
