A study by Strategy Analytics has found very interesting trends in 4G LTE handset penetration in China and South Korea, two major countries/regions with the world’s fastest pace of 5G network rollout and 5G handset availability over the past three years.
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In China, the penetration of 4G LTE phones, in terms of shipments, starts at 76% in Q1 2020 and ends at 25% in Q4 of the same year. It remains fairly stable, with 19% penetration in Q1 2021 and 15% in Q4 2021. In the first three quarters of 2022, its penetration is somewhat stable (not rapidly declining), averaging around 14%.
South Korea shows a more noteworthy trend. 4G LTE handset penetration by shipments was 96% in Q1 2019 (the first quarter when 5G handsets began to hit the market in Korea), dropping sharply to 22% by the end of 2021. However, the penetration rate remains fairly stable at 19 percent for the first three quarters of 2022.
According to the report’s analysis, it is likely that the relatively stable share of 4G LTE phones this year is closely related to (1) the different market response to 5G and (2) the continued preference for 4G pricing on the part of consumers, among other reasons.
