Consumers Willing to Spend 20% More on 5G Smartphones

Samsung, LG, OnePlus, Oppo, Xiaomi along with many other smartphone players released their first 5G smartphone during 2019. Apple expects to launch next-generation 5G iPhones in 2020. Since the USA is going to be one of the top two markets globally for network roll-out, we conducted a consumer research study to understand potential consumer demand for the new technology.

According to the survey, a majority of consumers showed positive interest in buying a 5G smartphone and almost one in four is willing to spend as much as 20% more to upgrade to a 5G smartphone compared to a 4G model.

The survey revealed some interesting insights on the purchase intention and attitude towards an upcoming wave of 5G smartphones. The interest in buying a 5G smartphone is highest among respondents earning between $1500 – $5000 per month. These consumers are willing to spend between $800-$1500 on a 5G smartphone. Most of these users are using a phone which is at least 18 months old. Respondents earning less than $1500 per month would not want to spend more than $700 on a 5G smartphone. Male respondents reflected a stronger inclination towards 5G smartphones than females.

Further detail on the demographics shows that more than half the respondents in the 25-34 years age group are willing to spend $600 – $1000 on a 5G smartphone, while those over 35 would wish to spend less than $600.

Spending Intention for Buying 5G smartphones

Source: Consumer Lens

The above indicators good are signs for the smartphone and service provider ecosystem. However, with some early users reporting disappointing performance, the industry will need to ensure a positive experience for early adopters to prevent turning-off potential upgraders.

Newer 5G applications and services such as mobile eXtended Reality (XR), cloud gaming and others can accelerate 5G device upgrades. However, we believe the consumer purchase decision will be stimulated further by various factors including operator and brand promotions, data plan pricing, better 5G coverage, and higher data throughput in dense urban areas.

The US and other mature smartphone markets have seen a slowing upgrade cycle in smartphones and the roll-out of 5G networks and devices will likely stimulate a quickening of the replacement rate in the near- to mid-term. According to our preliminary global smartphone shipment estimates, 5G will grow strongly in the USA, China, and several Western European countries over the next year. Compared to initial 4G sales, we expect 5G to grow at a much faster pace and contribute to the global smartphone market growing by four to five percent in 2020.

Counterpoint research is a young and fast growing research firm covering analysis of the tech industry. Coverage areas are connected devices, digital consumer goods, software & applications and other adjacent topics. We provide syndicated research reports as well as tailored. Our seminars and workshops for companies and institutions are popular and available on demand. Consulting and customized work on the above topics is provided for high precision projects.

Term of Use and Privacy Policy

Counterpoint Technology Market Research Limited


In order to access Counterpoint Technology Market Research Limited (Company or We hereafter) Web sites, you may be asked to complete a registration form. You are required to provide contact information which is used to enhance the user experience and determine whether you are a paid subscriber or not.
Personal Information When you register on we ask you for personal information. We use this information to provide you with the best advice and highest-quality service as well as with offers that we think are relevant to you. We may also contact you regarding a Web site problem or other customer service-related issues. We do not sell, share or rent personal information about you collected on Company Web sites.

How to unsubscribe and Termination

You may request to terminate your account or unsubscribe to any email subscriptions or mailing lists at any time. In accessing and using this Website, User agrees to comply with all applicable laws and agrees not to take any action that would compromise the security or viability of this Website. The Company may terminate User’s access to this Website at any time for any reason. The terms hereunder regarding Accuracy of Information and Third Party Rights shall survive termination.

Website Content and Copyright

This Website is the property of Counterpoint and is protected by international copyright law and conventions. We grant users the right to access and use the Website, so long as such use is for internal information purposes, and User does not alter, copy, disseminate, redistribute or republish any content or feature of this Website. User acknowledges that access to and use of this Website is subject to these TERMS OF USE and any expanded access or use must be approved in writing by the Company.
– Passwords are for user’s individual use
– Passwords may not be shared with others
– Users may not store documents in shared folders.
– Users may not redistribute documents to non-users unless otherwise stated in their contract terms.

Changes or Updates to the Website

The Company reserves the right to change, update or discontinue any aspect of this Website at any time without notice. Your continued use of the Website after any such change constitutes your agreement to these TERMS OF USE, as modified.
Accuracy of Information: While the information contained on this Website has been obtained from sources believed to be reliable, We disclaims all warranties as to the accuracy, completeness or adequacy of such information. User assumes sole responsibility for the use it makes of this Website to achieve his/her intended results.

Third Party Links: This Website may contain links to other third party websites, which are provided as additional resources for the convenience of Users. We do not endorse, sponsor or accept any responsibility for these third party websites, User agrees to direct any concerns relating to these third party websites to the relevant website administrator.

Cookies and Tracking

We may monitor how you use our Web sites. It is used solely for purposes of enabling us to provide you with a personalized Web site experience.
This data may also be used in the aggregate, to identify appropriate product offerings and subscription plans.
Cookies may be set in order to identify you and determine your access privileges. Cookies are simply identifiers. You have the ability to delete cookie files from your hard disk drive.