The global smartphone industry is undergoing a shift, as used smartphones continue to grow while new device sales lag behind. According to IDC’s Quarterly Used Device Tracker, shipments of used smartphones are forecast to increase by 3.2% year-over-year in 2025, compared with only 1% growth for new smartphones over the same period. This divergence has been building for several years. While sales of new devices declined in 2022 and 2023 before a modest recovery in 2024, the used smartphone segment has shown consistent growth. The reasons lie in affordability, sustainability, and greater confidence in refurbished quality.
What is driving the change
A mix of economic caution and longer device lifespans has slowed the market for new smartphones. With inflation squeezing household budgets, consumers are holding onto their devices for longer periods, supported by improved hardware durability and extended software updates. Additionally, a lack of groundbreaking innovation in mature markets has limited the appeal of upgrading to brand-new models.
By contrast, used smartphones are benefiting from strong demand. Refurbished devices are increasingly trusted by mainstream consumers and businesses, supported by expanding trade-in programs and better certification standards. Environmental awareness is also fueling adoption. Buying a pre-owned device is now seen as a responsible choice that helps reduce electronic waste while still offering strong performance. Even slightly older Apple iPhone models or competitor devices remain capable of meeting everyday needs at lower costs.
Forecasting the future of growth
IDC projects that new smartphone shipments will gradually recover in the coming years, with growth improving from 1% in 2025 to 1.4% by 2029. This is expected to be driven by stabilizing economic conditions, replacement cycles, and innovation in technologies such as AI and foldable designs.
At the same time, the used smartphone market is set to maintain a clear lead. Growth is forecast to reach 5.8% in 2026 before easing slightly to 4.9% by 2029, reflecting market maturation and more stable supply chains. The momentum highlights how the second-hand segment has evolved from niche to mainstream.
Looking ahead at the industry shift
The used smartphone market is no longer just an alternative for budget-conscious buyers. It has become a strategic pillar for manufacturers, retailers, and enterprises looking to balance affordability, sustainability, and consumer expectations. With shipments continuing to expand faster than new device sales, the role of used smartphones in shaping the broader device ecosystem is set to remain significant well into the next decade.
Market
Trade-in
Repair
Refurbishing
