As the application of Generative Artificial Intelligence (Gen AI) technology in the smartphone industry becomes a hot topic, Counterpoint Research recently conducted a survey of consumers in seven countries. This survey included the United States, Canada, the United Kingdom, France, Germany, Poland, and Japan, with over 25,000 participants.

The results showed that only 32% of respondents were familiar with Gen AI, with the highest awareness in the United States at 72%. In contrast, Japan had the lowest awareness, with only 7% of respondents understanding the technology.

Smartphone (2)

Image Source Note: Image generated by AI, image authorized by service provider Midjourney

The survey results also indicated that over 70% of Gen AI users utilize this technology through their smartphones, with Generation Z users having the highest proportion, highlighting the important role smartphones play in promoting the adoption of Gen AI. Consumer interest in this technology is reflected not only in usage frequency but also in purchasing intentions, with nearly 60% of respondents planning to buy a smartphone equipped with Gen AI in the coming year. Among these, American consumers showed the most enthusiasm, followed by users in Germany and France.

In terms of specific application features, users showed a clear preference for writing assistance, image generation, and voice assistant functions. Despite the strong interest in Gen AI smartphones, the survey results revealed that only 19% of respondents were willing to pay extra for such devices.

This data suggests that smartphone manufacturers may need to adjust their market strategies, adopting low-cost methods to promote Gen AI smartphones and considering monetization through applications or providing large language model (LLM) services to developers as potential revenue streams.

The potential application of Generative Artificial Intelligence in the smartphone market is enormous, especially among younger users. However, the market's cautious attitude towards willingness to pay also forces manufacturers to rethink their business models and pricing strategies to meet the ever-changing consumer demands.

Key Points:

🌍 Only 32% of global users are familiar with Generative Artificial Intelligence technology, with significant differences in awareness across countries; the United States leads at 72%, while Japan trails at just 7%.  

📱 Over 70% of Gen AI users access this technology through smartphones, with Generation Z users making up the highest proportion, showcasing the crucial role of smartphones in technology adoption.  

💰 Only 19% of consumers are willing to pay extra for Gen AI smartphones, prompting manufacturers to adjust market strategies and seek low-cost promotion and revenue models.