Dumb phones, also known as feature phones, are still popular in the U.S. despite their decline in global popularity. Companies like HMD Global, Nokia phones’ maker, continue to sell millions of these traditional flip or slide phones with additional features like GPS or a hotspot. Some Gen Z populations are tired of using smartphones and are turning to dumb phones as a way to cut back on screen time and prioritize mental health. While the market for dumb phones is flatlined in North America, there is potential for a 5% increase in the next five years due to public health concerns. Companies like Punkt and Light are catering to this trend by offering devices that help users spend less time on their phones and social media.
| Signal | Change | 10y horizon | Driving force |
|---|---|---|---|
| Dumb phones gaining popularity in the U.S. | Shift from smartphones to dumb phones | Dumb phones becoming more popular in the U.S. | Desire to spend less time on screens and improve mental health |