Generative AI is expected to take over almost half of the smartphone market by 2027, marking a significant milestone in the technology world. AI-powered smartphones are about to enter our lives.

2027 prepares for the dominance of AI-powered smartphones

In today’s digital age, where digitization and automation directly impact all sectors and businesses, generative AI (GenAI) offers an advanced technological system designed to make tasks easier. According to Counterpoint Research, nearly half of smartphones will feature generative AI by 2027. The study predicts that the market share for these devices will reach 11% in 2024, with a compound annual growth rate of 49% between 2024 and 2027.

AI-powered smartphone shipments are expected to exceed 550 million units by 2027, with an estimated 1 billion AI-powered smartphone installations by then. With Apple expected to enter this segment by the end of this year, these forecasts are higher than Counterpoint’s December 2023 predictions.

The research anticipates a turning point for AI-powered smartphones in 2025, with these devices reaching a broader price range, such as the $400-$599 segment. It’s expected that in 2024, 9 out of 10 GenAI smartphones sold will fall within the $600+ and $400-$599 price bands.

Leading chip companies like MediaTek and Qualcomm have pioneered AI-enabled smartphones. Several mobile computing platforms are being launched to support large-scale, pre-trained generative AI models on devices.

Counterpoint Research defines AI-powered smartphones as mobile devices capable of creating original content or performing contextual tasks using large-scale, pre-trained generative AI models. These devices can process text, images, audio, and other inputs, producing various outputs and offering a smooth user experience.

As AI-powered smartphones become more common in the coming years, the tech world closely monitors their impact. This growth is expected to drive diversification of AI-enabled devices, enrich user experiences, and open new opportunities and areas of innovation for technology companies.

In the future, generative AI is expected to play a more prominent role in smartphone users’ lives, enabling devices to take on creative and contextual tasks. This trend could redefine the use and functionality of smartphones, pushing the boundaries of technology.

What do you think about AI-powered smartphones to be produced in the future? What kind of innovations could this technology bring to our devices? Do you have any expectations or concerns? Share your thoughts and opinions in the comment section below, and let’s start talking about this exciting technology together.