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Qualcomm’s New Chip Aims to Bring 5G to Millions in Emerging Markets

ByYasmeeta Oon

Aug 2, 2024

Qualcomm’s New Chip Aims to Bring 5G to Millions in Emerging Markets

Qualcomm introduced the Snapdragon 4s Gen 2 chip, aiming to expand 5G accessibility to 2.8 billion smartphone users in cost-sensitive markets like India and Latin America. This entry-level chip, unveiled on Tuesday, seeks to address the lack of 5G models in the sub-$100 price segment, a gap that has hindered manufacturers’ ability to attract feature phone users, especially in India’s large smartphone market.

Image credit: TechCrunch

Recent data from IDC indicates a 14% year-on-year decline in the entry-level segment of the Indian smartphone market, now holding a 15% share with 5.1 million units shipped in the first quarter. Despite this downturn, the overall smartphone market in India grew by 11% year-on-year, reaching 34 million units, with the $200-$400 segment leading the charge. Notably, China’s Xiaomi and its spin-off brand Poco continue to dominate the entry-level segment.

Qualcomm’s new chip aims to fill the void in the entry-level market by providing a more affordable 5G solution. The first device using the Snapdragon 4s Gen 2 chip will be launched by Xiaomi in India later this year, according to Qualcomm. This move coincides with reports that Indian telecom giant Jio is exploring the development of 5G feature phones to encourage users to upgrade from feature phones to smartphones.

The Snapdragon 4s Gen 2 is a feature-limited version of the Snapdragon 4 Gen 2, which debuted last June. Built on 4nm process technology, the new chip features an octa-core Kryo CPU, consisting of two performance cores supporting up to 2GHz clock speed and six efficiency cores at up to 1.8GHz. Unlike its predecessor, the Snapdragon 4s Gen 2 does not support non-stand-alone 5G deployment mode, commonly used for high-speed connectivity via existing network infrastructure. Instead, it supports stand-alone 5G deployment, currently offered only by Jio in India, with Airtel planning to launch a similar version in the future.

Kiranjeet Kaur, Associate Research Director for IDC Asia/Pacific, noted that while Indian smartphone vendors are aggressively pushing 5G phones at lower price points, this momentum is less pronounced outside the country. Kaur highlighted that Qualcomm’s cost-cutting measures for the Snapdragon 4s Gen 2 chip could facilitate the production of lower-end 5G phones in India and other emerging markets.

Kaur also pointed out the ongoing concerns about the value of upgrading to 5G, considering the additional costs for devices and plans, as well as potential compromises in smartphone features. However, she believes that increased support from component manufacturers like Qualcomm will boost competition and drive momentum in the lower price segment.


Featured Image courtesy of Gadgets 360

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Yasmeeta Oon

Just a girl trying to break into the world of journalism, constantly on the hunt for the next big story to share.

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