Rugged Phones Market Size & Industry Growth by 2028

The global rugged phones market is expected to grow from US$ 2,982.21 million in 2023 to US$ 4,457.88 million by 2028; it is anticipated to register a CAGR of 8.4% from 2023 to 2028.

The demand for rugged mobile phones for mission-critical and non-critical communication in industries such as transport & logistics, manufacturing & construction, and retail & warehousing is increasing at an impressive pace. The enhanced safety features, robust design of rugged smartphones as well as feature phones that are designed specifically for task workforce, which are engaged in a challenging work environment, are driving their adoption over simple consumer-grade mobile phones. Equipping task/field workers with smart and advanced rugged phones allows efficient communication between employees and enhances the productivity of overall operations in a range of challenging environments. Moreover, the increasing trend of digitalization across industries and advancements in communication technologies such as 5G is expected to fuel the growth of the rugged phones market across the globe over the forecast period.

Integration of advanced capabilities such as thermal imaging and scanning coupled with continuously increasing processor power, high memory, and large screens of smartphones is another factor that is anticipated to boost the demand for rugged phones across industrial, commercial, and public safety applications. However, the onset of the COVID-19 outbreak impacted the yearly growth rate of the rugged phones market in 2020, owing to supply chain disruptions and limited/reduced manufacturing levels in countries such as China. Despite some slowdown in 2020, the product demand is anticipated to grow during the forecast period.

Strategic Insights

Impact of COVID-19 Pandemic on Rugged Phones Market Share

The onset of the COVID-19 outbreak led to temporary shutdown of businesses and disruptions in supply chain and manufacturing activities, which resulted in a decline in telecom infrastructure development activities and an adverse impact on sales & marketing activities of rugged phone companies operating in the market. The impact was severe, especially for small and medium-sized companies/startups involved in this market. However, many restructuring efforts were taken by companies to overcome the supply chain issues and to increase coordination with sales partners and suppliers to reduce the negative impact on the market.

Lucrative Regions: Rugged Phones Market Share

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Rising 5G Deployments Boost Market Growth

The demand for connected devices and reliable network technologies is rising among industrial customers across the globe. Communication network technologies such as 2G, 3G, and 4G are already well-established. However, with the rising complexity of electronic systems and the integration of advanced technologies in smartphones, there is a growing demand for further improvements in network capacity, latency, and coverage. 5G is a fast-emerging wireless technology that offers promising performance enhancements over existing technologies. A few of the key countries which have already started the successful deployments of 5G include South Korea, Germany, China, the UK, and the US. China is one of the prominent countries where the three major telecom operators, namely China Mobile, China Unicom, and China Telecom, have already activated their 5G networks in selected cities. Also, as per GSMA estimates, it is expected that ~36% of mobile users in China will be using 5G by 2025. SK Telecom and Korea Telecom are a few key operators that have started 5G services in South Korea. In comparison to existing wireless network technologies, 5G is anticipated to offer enhanced network capacity, high coverage, improved latency, and improved battery life. All these advantages are anticipated to drive the penetration of 5G over the forecast period. Owing to the growth outlook of 5G technology, companies operating in the global rugged phones market have already started integrating 5G capabilities in some of their models to meet the growing demand of their end users and to differentiate their offerings from competitors. Blackview, OUKITEL, and Ulefone Mobile are a few of the key companies with 5 G-enabled phones. Several other players are also exploring the 5G capabilities and plan to include it in their products in the coming years, depending on the customer requirements for advanced functionality. Thus, 5G is anticipated to complement the growth of the rugged phones market during the forecast period.

Screen Size-Based Insights

Based on screen size, the rugged phones market is segmented into below 5 inch, 5 inch to 6 inch, and above 6 inch. The 5 inch to 6 inch segment dominated the rugged phones market in 2022. A few of the major companies such as Ulefone, AGM Mobile, Blackview, and Nomu are involved in the business of providing rugged phones with a screen size of 5-6 inch. For instance, Ulefone Armour 2 phone has a rugged design with rubber padding near the edges. The product comes with an IP68 rating and has a 5-inch full HD display. Similarly, AGM X2 is another rugged phone with an IP68 rating and MIL-STD—810G Military standard durability. The phone has a 5.5-inch AMOLED panel contained inside a tough casing. Blackview BV7000 Pro, Cat S62 Pro rugged smartphone, and Nomu M6 are other rugged phones with a 5-inch HD display.

Players operating in the rugged phones market are mainly focused on the development of advanced and efficient products.

• In February 2023, Kyocera International Inc., a leader in rugged mobile solutions in North America, added the DuraXV Extreme+ flip phone—without a camera—to its lineup of military-grade rugged devices with Verizon. This device joined the standard DuraXV Extreme+, launched at the end of 2022.
• In April 2021, KYOCERA Corporation launched the military-grade and FirstNet Ready DuraXE Epic on the AT&T 4G LTE network. A compact flip phone built for reliability in harsh conditions with certified military standard 810H to withstand drops (up to 5 feet onto concrete) and water immersion (IP68 up to 6 ft for 30 min), making it ideal for public safety, construction, and hospitality industries.

The global rugged phones market is segmented into five major regions—North America, Europe, Asia Pacific (APAC), Middle East & Africa (MEA), and South America. The North America rugged phones market accounted for the largest market share, and Asia Pacific is expected to grow at the highest CAGR over the forecast period.

Blackview; Caterpillar; Kyocera; OUKITEL; Samsung Electronics Co Ltd; AGM Mobile; Sonim Technologies Inc.; Ulefone Mobile; Unitech Electronics Co., LTD.; and Zebra Technologies Corp. are a few of the key players operating in the rugged phones market. The market report provides detailed market insights, which help the key players strategize the rugged phones market growth over the coming years.