It’s time to rethink the notion that the economy won’t hurt the mobile phone market.
For a couple of months, analysts and the telecom industry have considered mobility insulated from the world’s tanking financial condition. Now comes a poll showing that the mobile phone market is very likely to shrink in 2009 as consumers cut back on all areas of spending.
Reuters polled 36 analysts who said global market volumes will fall 6.6 percent next year. Much of the fear comes from inventory backlogs – if stores can’t sell this year’s model, they’ll have a hard time selling new, potentially higher-priced devices.