Counterpoint Research forecasts that shipments of smartphones equipped with generative AI capabilities (GenAI) will reach over 400 millions units in 2025. This represents a significant increase from 2024’s 20%. The market analysis firm stated that smartphone manufacturers are expanding GenAI capabilities from flagship models to mid-range models due to technological advancements, improvements made in chip technology and the adoption lightweight large language models. Counterpoint Research said GenAI applications are not yet attracting strong consumer interest. Smartphone makers are exploring more practical AI uses cases to try to stoke the demand. The report states that although Chinese smartphone brands have implemented GenAI features into their flagship models, it is not expected that they will bring them to low- and mid-end models before 2026 or 2027.[Counterpoint]
