High demand for  lower-priced Android smartphones is set to make China (PRC) the largest market for smartphones in 2012, overtaking the United States as the global leader in smartphone shipments. International Data Corporation (IDC)forecast that China will account for 26.5% of all smartphone shipments in 2012, compared to 17.8% for the United States.

According to IDC the PRC smartphone market will continue to be lifted by the sub-US$200 Android devices while the prices in the low-end segment will go down to US$100 and even below that, as competition for the chinesee market share grows. Carrier-subsidized and customized handsets from domestic vendors will further support the migration to smartphones and boost shipments.

However the U.S. smartphone market is not going to stop. Growth is expected to continue, but at a slower pace. Smartphone shipments into the United States are predicted to increase as US consumers upgrade their devices and feature-phone users switch over to smartphones. Furthermore, a combination of lower-priced models, expansion of 4G networks, and the proliferation of shared data plans will encourage continued smartphone adoption.

Brazil, Russia and India will add to China and the United States, as key markets for smartphone shipment volume over the next five years.

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