The cumulative 5G smartphone shipments is expected to cross the 100-million mark in the second quarter (Q2) next year and exceed 4G smartphone shipments by the end of 2023, a report showed on Wednesday.

5G smartphone share in lower price bands (less than Rs 20,000) is increasing from 4 percent in 2021 to 14 percent in 2022 and will reach 30 percent in 2023.

“The cost of an entry-level 5G smartphone came down to below Rs 10,000 in 2022 with the launch of the Lava Blaze 5G,” Counterpoint Research said.

The availability of cheaper 5G chipsets from Qualcomm and MediaTek has enabled smartphone makers to launch more 5G devices in the lower price segment, while the commercial rollout of 5G services has also driven demand for the same.

The 5G smartphone shipments are estimated to grow 81 percent in 2022 driven by their expanding presence in lower price bands (Rs 20,000) and rollout of 5G networks.

However, the growth has been limited due to component supply shortages, inflation, geopolitical conflicts and other macroeconomic issues, which have delayed 5G device launches in the budget segment.

Though OEMs have launched more 5G devices for lower price bands, they have done so by dropping or downgrading key features like display or fast charging to lessen the impact of increasing component costs.