India's tablet market grows despite rising prices and smartphone slowdown

Tablet shipments rose 5 per cent in Q1 CY2026 despite memory-led price increases, driven by demand for larger-screen devices and growing use cases beyond smartphones

India’s tablet market grew 5 per cent year-on-year in Q1 CY2026, even as smartphone shipments declined 3 per cent in the same quarter, marking the weakest quarter for smartphones in six years. According to Counterpoint Research, tablet growth came despite the same cost pressures affecting smartphones, including rising memory prices and broader supply-side constraints.

 

The divergence suggests that while overall consumer electronics demand remains under pressure, the way consumers are allocating spending across device categories is beginning to shift.

Growth holds despite rising prices

The report noted that tablet average selling prices (ASPs) increased 20 per cent year-on-year, driven by premiumisation as well as higher component costs linked to memory inflation.

 

 

This mirrors trends in the smartphone market, where rising DRAM and NAND costs have led to higher launch prices and post-launch price increases across brands.

 

For instance, the OnePlus Pad Go 2, launched at Rs 26,999, is now priced at Rs 28,999, reflecting the broader trend of upward price revisions even after launch.

Despite this, tablet shipments have continued to grow, indicating that demand is not being suppressed to the same extent as in smartphones.

 

Commenting on the trend, Anshika Jain, principal analyst at Counterpoint Research, said: “In Q1 2026, the market experienced a double-digit increase in ASP. Though the memory cost inflation also affected the prices, its impact was relatively limited in the quarter. The rising memory price impact is expected to become more evident from Q2 as brands increase prices to manage margin and cost pressure.”

Larger tablets are driving the market

The growth is not uniform across segments.

 

According to the report, devices above 13-inch displays recorded the highest growth at 338 per cent year-on-year, followed by the 12–12.9-inch segment at 76 per cent and the 11–11.9-inch segment at 29 per cent.

 

In contrast, smaller tablets are seeing a decline. The 10–10.9-inch segment fell 76 per cent, while devices below 9.9-inch declined 52 per cent year-on-year.

This indicates a clear shift in demand towards larger-screen devices.

 

According to the report, Lenovo’s Idea Tab series and Samsung’s Ultra series have helped strengthen the trend, with both seeing steady traction over recent quarters. Q1 CY2026 also saw new launches from Apple and Xiaomi, each introducing at least one device with a display larger than 12-inch.

 

The report noted that tablets are increasingly being positioned as a value-efficient alternative to both smartphones and laptops, with larger displays supporting use cases such as content consumption, online learning and productivity.

 

Jain said: “The market is seeing an increased preference for larger screen sizes, as consumers are using tablets as both a media consumption device and a productivity tool. This is strengthening the premiumisation trend as consumers demand higher configurations and better displays.”

Domestic manufacturing expands, but cost control remains limited

On the supply side, Counterpoint highlighted a sharp increase in domestic manufacturing, which grew more than 61 per cent year-on-year.

 

The report said this was driven by brands shifting portfolios towards local production, alongside export growth, which crossed 200,000 units during the quarter.

 

Lenovo has increasingly moved towards locally manufactured products, while Xiaomi and OnePlus have benefited from local production. Other brands, including Realme and OPPO, have also expanded domestic manufacturing capabilities in recent quarters, strengthening the broader ecosystem.

 

This trend is also visible in smartphones, where brands have been expanding local manufacturing. However, as seen in both categories, localisation has not translated into immediate pricing relief.

 

As Sumit Singh, senior vice-president and head of product at Lava International, explained in an earlier interaction, while assembly and some components can be produced locally, key materials continue to be imported.

“India is still behind the China ecosystem. Engineering Bill of Materials components are sourced from China, Hong Kong, Taiwan and other regions,” Singh said.

 

He added that while localisation is improving, it is unlikely to offset memory-driven cost pressures in the short term.

What this means

The tablet market’s growth is occurring alongside rising prices, increasing localisation and a shift towards larger, higher-configuration devices.

 

At the same time, smartphones are facing declining shipments under similar cost pressures, particularly due to memory inflation affecting pricing across segments.

 

The contrast between the two categories reflects differences in how demand is being distributed across devices rather than a broad-based recovery in consumer spending.