'5G Supercycle' Driven by 'iPhone 12'... Samsung and Apple Clash in October

Supports Millimeter Wave... Apple "Secures the Widest Coverage"
Samsung Counters with Releases like 'Galaxy S20 FE'

[Asia Economy Reporter Han Jinju] With Apple unveiling its first 5G iPhone, a major shift is expected in the 5G smartphone market. The long-standing duopoly led by Samsung and Huawei is breaking down, and Apple's entry is anticipated to expand the market.

On the 13th (local time), Apple announced the iPhone 12 series. Apple stated, "It supports the most 5G bands ever in a smartphone and secures the widest 5G coverage worldwide." The models released in the U.S. support millimeter-wave, a high-frequency version of 5G. Millimeter-wave can reach speeds up to 4Gbps even in densely populated areas.

The iPhone 12 series was regarded even before its release as a device that would lead a '5G supercycle.' Wedbush Securities analyst Dan Ives predicted, "Out of one billion iPhone users, 350 million will switch to 5G iPhones."

Domestic mobile carriers also see the iPhone 12 launch as an opportunity to drive the accumulated demand for iPhone upgrades. An industry insider explained, "When purchasing a new device, considering 5G is inevitable, and since these devices are used for several years, there will be significant demand to switch to 5G." Although iPhone's domestic market share is usually around 20%, attention is focused on whether this new product launch will expand that share.

From the perspective of competitor Samsung Electronics, defending market share has become urgent. Although Samsung entered the 5G smartphone market a year earlier and captured the market, Apple's offensive is expected to be formidable. Samsung released the Galaxy Note20 in August and the Galaxy Z Fold2 in September, and to compete with the lower-priced iPhone 12 models, launched the 'Galaxy S20 FE' priced in the 800,000 KRW range in October. Although more expensive than the mid-to-low-end A series, Samsung has also set a strategy to release a 'Fan Edition' model annually to target the sub-1 million KRW smartphone market. Additionally, the three mobile carriers and Samsung have been making strenuous efforts to defend market share, such as doubling the official subsidies to 500,000 KRW about two months after the Galaxy Note20 series launch.

Strategy Analytics forecasts that global 5G smartphone sales will reach 250 million units this year, a 1300% increase from 18 million units last year. With Apple launching a 5G iPhone, the 5G market is expected to grow. SA explained, "The 5G category will be a major engine driving smartphone growth over the next decade," adding, "Apple's iPhone, Huawei, and Samsung will account for two-thirds of 5G smartphone sales."

This content was produced with the assistance of AI translation services.