Consumer spending in the telecom sector will remain inhibited for some time and a supply and output slump will cause delivery backlogs for popular smartphones even as supply chains restart, says
Bhatia continues: "Demand for smartphones is likely to remain weak in Q2 2020 as the majority of people in the US and
New phone releases expected in 1H 2020 are already in an advanced stage of development, so their release is imminent. Carriers have stepped up to offer unlimited data to their customers temporarily, as data and voice services are now on the list of consumer essentials, so, consumer churn is expected to remain low.
Bhatia concludes: "Carriers will need to be aggressive in kick-starting smartphone sales again and should consider restarting the abandoned subsidy model to briefly jumpstart phone sales in some hard-hit regions."
ENDS
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