4G mobiles make a comeback on costlier 5G smartphones

NEW DELHI: Costlier smartphones are slowing India's shift to 5G. Rising component costs are driving a comeback for 4G devices as buyers seek better specifications at affordable prices.Shipments of 4G smartphones are expected to grow 3% in 2026 even as the overall market declines, according to Counterpoint Research. Their share of smartphone shipments is projected to rise from 11% in 2025 to 13% this year and 15% in 2027.The shift is particularly visible in the Rs 10,000-20,000 segment, where the number of smartphone makers offering 4G models has increased from two in 2025 to 12 this year. "India's 4G recovery is increasingly extending beyond the traditional entry-level segment," Counterpoint senior analyst Prachir Singh said. Buyers in this price band are seeking better device experiences without the higher price associated with 5G, he added.India's overall smartphone shipments fell 11% year-on-year in the June quarter, Counterpoint said, with record-high memory costs triggering multiple price hikes and weakening demand, particularly at the lower end."Building a 5G phone under Rs 15,000 that doesn't compromise on the overall experience has become extremely challenging," Sumit Singh, SVP and head of products at Lava International, told TOI. "At the same time, consumer purchasing power hasn't grown to match these rising costs."Lava continues to prioritise 5G but has revisited its strategy for the sub-Rs 15,000 market. Demand, Singh said, is "not for the cheapest phone" but for better value, specifications and ownership experience. Brands like Xiaomi, Infinix, Realme have also launched 4G phones this year.Counterpoint research director Tarun Pathak said the shift could outlast a temporary response to higher prices because component costs are unlikely to normalise quickly. For manufacturers, this creates room to offer better-equipped 4G devices at affordable prices, while buyers increasingly weigh connectivity against the overall experience. The trade-off is making 4G a broader value proposition beyond its traditional entry-level role.You use AI every day. Now get your AI Quotient. Take the AIQ test.