Under-display Camera Phones market Size
The Global Under-display Camera Phones market was valued at USD 627.43 million in 2024 and is projected to grow to USD 671.97 million by 2025. By 2033, the market is expected to reach USD 1,155.58 million, exhibiting a compound annual growth rate (CAGR) of 7.1% during the forecast period from 2025 to 2033. This growth is driven by the increasing demand for bezel-less smartphone designs and enhanced user experiences, which under-display cameras facilitate by providing uninterrupted screen displays.
Under-display Camera Phones Market
The under-display camera phones market is an emerging segment in the global smartphone industry, where camera components are integrated directly beneath the phone’s display, eliminating notches or holes for a more immersive screen experience. By 2024, it is projected that approximately 15% of all smartphones globally will feature this technology, primarily driven by consumer demand for all-screen devices.
In addition to improving aesthetic appeal, the growing adoption of 5G networks and the enhancement of display technologies are anticipated to propel the market forward, with manufacturers focusing on optimizing both screen quality and camera functionality.
Under-display Camera Phones Market Trends
The under-display camera phones market is experiencing significant growth, with several key trends shaping its development. As of 2023, more than 12% of all flagship smartphones globally are expected to incorporate under-display camera technology, up from approximately 5% in 2021. Asia-Pacific leads the adoption of this technology, with 70% of all under-display camera smartphones being launched in China alone.
This trend is driven by heavy investment in research and development, as manufacturers aim to perfect this feature. Additionally, companies are focusing on improving camera quality by integrating advanced AI-driven image processing, ensuring that under-display cameras perform similarly to traditional front-facing cameras.
The mid-range segment, however, still sees limited adoption of this technology, accounting for only 8% of all smartphones featuring under-display cameras in 2023. As production scales, there is an expected 5% drop in production costs over the next few years, making it more affordable for mid-range phones.
Under-display Camera Phones Market Dynamics
The market dynamics of under-display camera phones are influenced by several key factors, including the demand for edge-to-edge displays and advancements in camera and display technology. With the rise in consumer preference for full-screen devices, the technology is expected to account for over 10% of the global smartphone market share by 2024.
Additionally, 25% of high-end smartphones launched in 2024 are expected to feature under-display cameras, with leading manufacturers such as Xiaomi, Samsung, and Oppo spearheading development. However, the market faces several challenges in terms of camera quality and cost constraints, especially in the mass production phase. As the technology matures, it is expected that under-display camera smartphones will make up 30% of premium devices by 2025.
Drivers of Market Growth
"Rising demand for innovative smartphone features"
The demand for innovative smartphone features, such as under-display cameras, is driving significant market growth. According to market reports, over 60% of consumers consider a full-screen experience to be a key factor in their purchasing decisions, making this technology essential for future smartphones. As a result, smartphone manufacturers are increasingly integrating under-display cameras into their premium devices. In fact, by 2024, 50% of all high-end smartphones are projected to feature this technology, compared to 20% in 2022. This growing preference is attributed to advancements in both camera and display technology, making under-display cameras a practical solution to meet the demand for uninterrupted, bezel-less screens.
Market Restraints
"High production costs and technical limitations"
The high production costs associated with under-display camera technology pose a significant challenge to market growth. As of 2023, the cost of manufacturing smartphones with under-display cameras is estimated to be 12-15% higher than traditional models due to the specialized components and advanced manufacturing processes required. Moreover, technical limitations, such as compromised image quality in low-light conditions, also restrict the widespread adoption of this technology. These factors create a barrier for mid-range smartphones, where cost sensitivity is a major consideration. It is estimated that only 10-12% of mid-range smartphones in 2024 will feature under-display cameras, compared to 30% in premium devices.
Market Opportunities
"Demand for bezel-less displays"
The increasing demand for bezel-less smartphones presents a significant growth opportunity for the under-display camera phones market. As screen-to-body ratios continue to improve, over 70% of consumers are expected to prioritize full-screen displays when purchasing a smartphone by 2025. This growing demand for uninterrupted display space presents a unique opportunity for manufacturers to integrate under-display cameras. Furthermore, the potential for adoption in foldable smartphones, particularly in the premium segment, provides an additional market avenue, as 40% of foldable smartphones are expected to feature under-display cameras by 2025.
Market Challenges
"Technical limitations in camera quality"
Despite the growth potential, one of the main challenges for the under-display camera phones market remains the issue of maintaining high-quality camera performance. Under-display cameras currently struggle with image quality, especially in low-light conditions, as the transparency of the display limits the amount of light reaching the camera sensor. As of 2023, 35% of under-display camera smartphones suffer from compromised low-light image performance compared to traditional front-facing cameras. Additionally, maintaining detail preservation and color accuracy remains a significant hurdle. These challenges are expected to persist until further advancements in camera sensor technology and display transparency are achieved.
Segmentation Analysis
The under-display camera phones market can be segmented based on type and application. By type, the market is divided into 4G and 5G phones, with the 5G segment seeing the most growth due to increasing demand for faster connectivity. By application, the market is categorized into direct-sale stores, retail stores, and online platforms. Online sales are gaining traction, especially in regions like Asia-Pacific and North America, where e-commerce has become the preferred purchasing channel. The segmentation allows companies to tailor their marketing strategies according to consumer preferences and buying behaviors.
By Type
- 4G Phones: The 4G phones segment still holds a substantial share in the under-display camera phones market, accounting for 55% of total sales in 2023. Despite the growth of 5G, the 4G segment remains dominant due to its affordability and wide consumer base in emerging markets. By 2025, it is expected that 4G phones will still represent 45-50% of the under-display camera phone market as price-sensitive consumers continue to favor more cost-effective devices. While 4G phones with under-display cameras offer great user experience, the demand for 5G-enabled smartphones is steadily growing, especially in premium categories.
- 5G Phones: The 5G phones segment is rapidly gaining market share in the under-display camera phones market. As of 2023, 45% of smartphones with under-display cameras are 5G-enabled, a figure expected to rise to 60% by 2025. This growth is driven by the widespread deployment of 5G networks and consumer demand for faster internet speeds and advanced connectivity. 5G smartphones with under-display cameras are particularly popular in North America and Asia-Pacific, where 5G adoption is already high. The premium segment of 5G-enabled devices is projected to make up 70% of under-display camera phones by 2025.
By Application
- Direct-sale Store: Direct-sale stores are an important sales channel for under-display camera phones, accounting for 30% of total sales in 2023. Consumers often prefer purchasing directly from brand stores to experience the latest technology firsthand. This is particularly true in regions like North America and Europe, where brand loyalty is high, and consumers seek direct engagement with manufacturers. However, as e-commerce continues to rise, the share of direct-sale stores is expected to decline slightly to 28% by 2025, with online channels capturing a larger portion of the market.
- Retail Store: Retail stores, including chain and electronic outlets, represent 25% of under-display camera phones sales globally. Retail stores remain a vital part of the sales ecosystem, allowing consumers to physically test devices before purchase. However, this channel faces increasing competition from online platforms, which offer better deals and convenience. The retail store segment is expected to remain relatively stable, with a slight decline to 22-24% in the next few years, as more consumers shift to online shopping platforms for greater accessibility.
- Online: Online sales are rapidly growing and are expected to account for 45% of the under-display camera phones market in 2023. This trend is particularly noticeable in regions such as Asia-Pacific and North America, where e-commerce is the preferred purchasing method. Online sales channels benefit from the convenience, better pricing, and the ability to compare multiple models. By 2025, online platforms are projected to represent 50-55% of the market, continuing to outpace physical retail stores and direct-sale channels in terms of market share.
Under-display Camera Phones Market Regional Outlook
The under-display camera phones market exhibits varied trends across different regions. Asia-Pacific is the leading region, with the largest share in the global market. In 2023, the region accounted for 50% of global sales of under-display camera smartphones, driven by strong consumer demand and technological innovation in countries like China and South Korea. North America and Europe are also key players, with increasing interest in high-end smartphones and 5G adoption. The Middle East & Africa show moderate growth, with limited penetration, but the demand for premium smartphones is gradually rising.
North America
North America is expected to account for 20% of the global under-display camera phones market by 2023. The market is driven by high demand for 5G-enabled smartphones, which represent 35% of total smartphone sales in the region. Consumer preference for premium, innovative features has led to a growing adoption of under-display cameras in flagship devices. By 2025, North America's share is projected to rise to 25%, with increasing e-commerce sales and consumer interest in cutting-edge smartphone technology.
Europe
Europe holds a 18% share of the global under-display camera phones market as of 2023, with a strong demand for flagship devices that offer cutting-edge features. In countries like the UK, Germany, and France, premium smartphones with under-display cameras make up 28% of total smartphone sales. The market is expected to grow steadily, with Europe projected to account for 20-22% of the global market share by 2025. Technological innovation and increasing consumer interest in full-screen, 5G-enabled smartphones are driving this growth.
Asia-Pacific
Asia-Pacific remains the dominant region for under-display camera phones, contributing over 50% of global market sales in 2023. The region’s largest markets, including China, India, and South Korea, are driving rapid adoption of 5G-enabled devices, which represent 70% of new smartphone launches. China alone accounts for 40% of the global under-display camera phone market. The region is expected to maintain its dominance, with 55-60% of global sales by 2025, driven by strong demand for both premium and mid-range devices.
Middle East & Africa
The Middle East & Africa market for under-display camera phones is still in the early stages, with 7% of global market share in 2023. The demand is primarily driven by high-income consumers seeking the latest technology, particularly in the UAE, Saudi Arabia, and South Africa. The adoption rate of under-display camera technology in the region is expected to rise, with 15% of high-end smartphones in the region featuring under-display cameras by 2025. However, price sensitivity in certain areas limits broader adoption in the mass-market segment.
List of Key Under-display Camera Phones Market Companies Profiled
- Samsung
- Xiaomi
- ZTE
- Oppo
- Vivo
- Huawei
- Apple
Samsung: Holds 35% of the global market share for under-display camera phones in 2023.
Xiaomi: Accounts for 25% of the global under-display camera phone market in 2023.
Recent Developments by Manufacturers in Under-display Camera Phones Market
Samsung introduced the Galaxy Z Fold 5 with an under-display camera in 2023, which made up 30% of its foldable smartphone sales in the year. Xiaomi launched the Mi MIX 4 in 2023, incorporating an under-display camera, contributing to 20% of its overall smartphone sales globally in the same year. Oppo also released the Find X5 Pro in 2023 with an under-display camera, capturing 18% of its high-end smartphone sales.
New Products Development
In 2023, Samsung released the Galaxy Z Fold 5, marking a significant product development with its under-display camera. This model accounted for 30% of Samsung’s foldable phone sales. Xiaomi launched the Mi MIX 4, with under-display camera technology, capturing 20% of its global smartphone sales in 2023.
Oppo also introduced the Find X5 Pro with a next-gen under-display camera, contributing 18% to its flagship smartphone sales. These new products have set the stage for upcoming releases, with expectations that devices with under-display cameras will account for 50% of total premium smartphones by 2025.
Investment Analysis and Opportunities
The under-display camera phones market has attracted significant investment, with 20% of global smartphone R&D budgets in 2023 allocated to enhancing under-display camera technology. Samsung and Xiaomi are leading these investments, with over 25% of their smartphone R&D budgets dedicated to improving camera functionality and reducing manufacturing costs.
Investment opportunities remain abundant in emerging markets, where smartphone adoption is rapidly growing. In particular, 55% of new smartphones in Asia-Pacific are expected to feature under-display cameras by 2025, providing lucrative investment potential in the region.
Report Coverage of Under-display Camera Phones Market
This report covers the complete analysis of the under-display camera phones market, including trends, market dynamics, and regional segmentation. It highlights the market’s evolution, with North America and Asia-Pacific expected to account for 60% of global sales by 2025.
The report provides key insights into market drivers, such as the increasing demand for 5G smartphones, which are projected to make up 70% of all under-display camera phones by 2025. Additionally, it covers emerging trends and new product developments, including the growing presence of foldable smartphones with under-display cameras, which are forecasted to represent 40% of the premium smartphone market by 2025.
Report Coverage | Report Details |
---|---|
By Applications Covered |
Direct-sale Store, Retail Store, Online |
By Type Covered |
4G Phones, 5G Phones |
No. of Pages Covered |
85 |
Forecast Period Covered |
2025-2033 |
Growth Rate Covered |
7.1% during the forecast period |
Value Projection Covered |
USD 1155.58 million by 2033 |
Historical Data Available for |
2020 to 2023 |
Region Covered |
North America, Europe, Asia-Pacific, South America, Middle East, Africa |
Countries Covered |
U.S. ,Canada, Germany,U.K.,France, Japan , China , India, South Africa , Brazil |
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