The global smartphone market is set to experience huge growth in 2024, according to a revised forecast by research firm IDC.

With consumer electronics demand on the rise and the introduction of advanced artificial intelligence (AI) features, IDC has raised its projections for global smartphone shipments, signaling a promising year ahead for the industry.

IDC Raises Global Smartphone Shipment Forecast for 2024

IDC now predicts that global smartphone shipments will grow by 5.8% in 2024, reaching 1.23 billion units. This marks an increase from the firm's previous estimate of 4% growth, which would have seen shipments total 1.21 billion units.

The upward revision reflects strong performance in the first half of the year, as well as growing consumer interest in AI-enhanced smartphones.

"Although GenAI smartphones are relatively new in the market, premium flagships will continue to adopt GenAI features to help separate them from the pack," Anthony Scarsella, the research director with IDC's Worldwide Quarterly Mobile Phone Tracker, said.

AI Features Drive Consumer Demand

The rise in smartphone shipments is particularly noteworthy in the context of an uncertain global economy. Typically, price-conscious consumers might hesitate to invest in new devices during economic downturns.

However, the integration of AI features in smartphones appears to be changing this dynamic, attracting buyers in key markets like the United States and China. These markets, which had been experiencing a prolonged slump, are now showing signs of recovery, driven in part by the appeal of AI-driven technology.

Apple and Google Lead the AI Smartphone Revolution

According to Reuters, the smartphone industry is gearing up for major product launches that could further stimulate demand. Apple is set to host its highly anticipated fall event on Sept. 9 at its headquarters in Cupertino, California.

The tech giant is expected to unveil its latest iPhones, which will likely feature new AI capabilities under the "Apple Intelligence" branding. These advancements aim to reverse the recent global sales slowdown, particularly in the crucial Chinese market.

In June, the Cupertino firm provided a preview of its AI ambitions at its developers conference, where it introduced a suite of AI features for its operating system.

Not to be outdone, Alphabet's Google also recently announced its new line of Pixel smartphones, which boast deep AI integration. These developments suggest that AI will play a central role in the next generation of smartphones, offering consumers enhanced functionalities that were previously unimaginable.

AI-Powered martphones Poised for Explosive Growth

The impact of AI on the smartphone market is expected to be substantial. IDC projects that smartphones equipped with generative AI (GenAI) features will see a staggering 344% surge in shipments by the end of 2024. These devices are anticipated to capture 18% of the market as more flagship models incorporate AI capabilities for everyday use.

Looking ahead, IDC also forecasts continued growth for Apple's iOS platform.

The firm predicts a 4% year-over-year increase in iOS shipments in 2025, driven by the expanding influence of Apple Intelligence. This growth trajectory highlights the increasing importance of AI in shaping the future of the smartphone industry.

AI as the Catalyst for Smartphone Market Revival

The integration of AI into smartphones is not only enhancing the user experience but also revitalizing the global smartphone market.

As leading companies like Apple and Google push the boundaries of what AI can do, consumer demand is expected to rise, driving significant growth in smartphone shipments.

With 2024 projected to be a transformative year, the smartphone industry is on the brink of a new era defined by intelligent, AI-powered devices.