Smartphone and tablet sales to surpass entire consumer tech market

According to IHS, worldwide oem factory revenue for smartphones and tablets will amount to $354.3billion in 2013, up from just $41.2bn in 2007. "Consumer demand for smartphones and tablets has been flourishing in the past few years, while sales growth for consumer electronics products has languished in the doldrums," noted Randy Lawson, senior principal analyst for semiconductors at IHS. The reason for this, according to Lawson, is because consumers are finding more value in the versatility and convenience of mobile devices such as Apple's iPhone and iPad products, which are being used for everything from phone calls and photography to navigation and fitness tracking. "Because of this, smart mobile platforms are displacing sales of consumer electronics products such as digital still cameras, camcorders, GPS and media players," Lawson continued. With factory revenue in the consumer electronics space likely to decline in 2014, smartphones and tablets are expected to expand their revenue lead dramatically, rising to a 22.2% advantage compared to the entire consumer electronics market. This gap, according to IHS, will continue to widen and reach nearly 35%in 2017.