Mobile phone distributors ‘unsatisfied’ over smartphone penetration

Bangladesh has a long way to go to attain a satisfactory smartphone user base, observed mobile phone distributors.

According to them, only 30 per cent of the people in the country use smartphones.

Transsion Bangladesh Limited CEO Rezwanul Haque said even though there are around 100 million mobile phone users in the country, only 30 million people use smartphones.

“According to the available government information total number of mobile phone user is about 100 million. Of them 30 per cent are smartphone users”, he said while talking to FE on Friday.

He also stated that the number of mobile phones sold this year is less than that of the previous year.

“In the country 70 per cent mobile phone users are using handsets below Tk 2,000, which shows that people still can’t afford to buy smartphones,” added Haque.

The Transsion Bangladesh Limited CEO hinted that a reduction of the prevailing 31 per cent tax on smartphones and smart devices may help to improve the picture. 

“Bangladesh is currently a mobile market of Tk 100 billion. But government is losing about Tk 1.0 billion revenue just because of illegal import which accounts for  30 per cent of total import”, mentioned Rezwanul Haque.  

Manufacturing smartphones locally could reduce the price by 10 to 15 per cent, he believes.

Government is considering initiatives to translate government services into e-governance, so more people can engage themselves in using internet, tabs, smartphones and other smart devices, said ICT State Minister Junaid Ahmed Palak on Thursday.

Palak made the comment on the opening day of a three day long event titled ‘Techshohor Smartphone and Tab Expo-2018’ in the capital.

Event organiser Expo Maker’s Strategic Planner Muhammad Khan said apart from government’s initiative to providing internet at a cheaper cost, the fair is plying a positive role to encourage people to use smartphone.  

Post, Telecommunication and Information Technology Minister Mustafa Jabbar at the opening day of the event said government is working to address these issues.

Minister Mustafa Jabbar said “Government is considering 10 per cent cash incentive to local information technology (IT) service exporters”.

“Besides, a ‘tax holiday’ facility is under consideration for those who are seeking to set up IT industries in the government-announced High-tech Park zones,” he added.

Moreover, the government will come up with a value added service guideline for the sector, stated the minister.