2021 could be the year when smartphone prices will finally be under control

As difficult as 2020 has been for just about everyone, there was a silver lining for smartphone fans: the prices of really good phones have plummeted. Although there was an early spike due to High-end 5G phones, budget devices, affordable flagships and “super mid-range” phones defined the year, including the Pixel 4a, iPhone SE and Galaxy S20 FE. Smartphones under $ 700 were already hot, but they quickly became the stars. There are signs that will continue until 2021.

Many smartphones arriving in 2020 will of course still be up to date for a while. However, there are also hints that phone makers are taking lessons from the last year into account. From the first indications, 2021 will be the year when smartphone makers learn to control their previously skyrocketing prices. Whether it’s because of changing trends or an absolute necessity, you might not have to pay $ 1000 or more to have a powerful phone in your pocket.

Affordable smartphones will stay hot in 2021

Credit: Eric Zeman / Android Authority

One of the most likely motivators is simple: If devices in a given category sell well, companies will make more products like them.

There are certainly signs that at least some of these more affordable phones are very popular. Wave7 Research Director Jeff Moore Noted that the Galaxy S20 FE was one of the top-selling phones among US carriers at the end of 2020, replacing the Galaxy A51 and even the regular Galaxy S20 line. LG has credited “mass” phones like the Velvet for improving summer sales. The iPhone SE, meanwhile, was a rare bright spot at the darkest point of the early pandemic. Buyers have a clear preference for more affordable smartphones, whether because of the pressure of the pandemic or a simple economy. It would be foolish for brands to ignore this in 2021.

See also: What to expect from smartphones in 2021

You might even see some early signs of this awareness. It’s not completely surprising that Chinese phones like Xiaomi’s new Mi 11 are priced very aggressively considering their home market, but it remains a positive sign for the first Snapdragon 888 phone to launch anywhere in the world. Maybe Qualcomm’s flagship silicon won’t push prices that high this time around. For example, Samsung is rumored to lower the prices of the Galaxy S21 by $ 150 compared to the S20 line.

And if history is any indication, some phones could create a ripple effect, causing competitors to feel pressured to keep prices low. Like it or not, the faster but more affordable iPhone 12 and iPhone 12 Mini are sure to influence industry pricing and features. If they are selling well (and they probably are), you can expect to see a surge of 2021 Android smartphones offering a similar mix of top-tier performance with a price tag under $ 800.

The pandemic might not leave much choice

There’s also a simple (albeit harsh) reality at work: The COVID-19 pandemic will likely continue to dampen enthusiasm for expensive smartphones, even as vaccines help restore some semblance of normalcy in 2021.

Although there are signs of recovery, many people are still unemployed or have had to accept lasting pay cuts. This will necessarily limit purchasing power. Companies will need to take this into account if they plan to sell smartphones in 2021. It’s hard to justify a high-end device (or any device at all) when you may have to stretch your budget more than you really need. had planned it. The success of budget phones at the start of the pandemic likely reflects this cost-conscious mindset.

Related: Have smartphones become much more expensive in 2020? Let’s look at the numbers

People might not be willing to spend even if they still have a good income, for that matter. If you work from home and stay as long as possible, why buy a high-end 5G-capable phone that won’t live up to its potential? A $ 2,000 Galaxy Z Fold 2 is a tough sell when you’ll only be using it to check your social feeds on the couch. More affordable and focused devices will make more sense until it’s safe to go to the office or take pictures at a concert again.

Cheap phones are more than enough

Smartphone makers may not be quick to acknowledge this publicly, but they may have to accept that mid-range phones in 2021 will be good enough for many people. You don’t have to buy the most expensive model anymore to feel like you have a powerful device.

The aforementioned Galaxy S20 FE – Android AuthorityThe smartphone of the year 2020 of 2020, nothing less – can be the quintessential example. While it doesn’t outperform the 2021 high-end smartphones, it is still a fast and all-rounder handset that takes quality photos and otherwise compares to more expensive alternatives. Why pay more for a regular S20, or even the S21, when the S20 FE nails the fundamentals? The Pixel 5 is another strong example. Google took a slightly different approach with its relatively underpowered super mid-ranger, but still managed to cram handy premium features like wireless charging and water resistance while still keeping the price tag affordable.

That doesn’t mean you’re wrong to covet the latest and greatest devices with Snapdragon 888 chips and powerful cameras. They will always be amazing for games and multitasking. And yes, the eventual end of the pandemic should make it easier to justify high-end phones again. For a growing number of people, however, there is little reason to buy more than a low-cost phone – and vendors may find it difficult to argue otherwise.