Important points:
- A quarter (25%) of smartphone owners believe that AI features are not useful, 45% are reluctant to pay a monthly subscription fee for AI features, and 34% of them have privacy concerns. I’m holding you.
- Just over half (52%) of smartphone owners are not interested in purchasing a foldable smartphone.
- The top motivation for US adult smartphone owners to upgrade their devices is longer battery life (61%), followed by more storage (46%) and better camera capabilities (38%). Only 18% say AI integration is their primary motivation.
As smartphone manufacturers like Apple, Google, and Samsung increasingly focus on AI features in their latest devices, a quarter of smartphone owners find these features especially useful, according to a CNET survey. We found that only 18% of respondents said that integrating AI was their primary motivation. It’s to upgrade your phone.
Look at this: iPhone 16 will be equipped with AI drama
In fact, according to respondents, the top factors for purchasing a new device are longer battery life (61%), more storage (46%), and better camera features (38%).
This comes as Apple debuts its Apple Intelligence suite of AI capabilities. This includes features like smarter Siri, AI-powered writing tools, photo editing, and more. Apple Intelligence is available on iPhone 15 Pro models and the iPhone 16 lineup.
Google also put a big emphasis on AI capabilities when it announced the Pixel 9 series in August, spending much of the keynote discussing new features in Gemini such as Live, which allows for natural interactions with virtual assistants. I spent my time doing that. And at July’s Unpacked event, Samsung similarly touted its Galaxy AI, which can simplify tasks like translating messages and editing photos.
These new features rely on generative AI to generate text and images and power digital assistants, but AI itself has been built into smartphones for years. For example, your phone’s camera uses AI to process images and blur the background in portrait mode. Also, Siri and Google Assistant have always been AI-based (although they use less advanced versions of the technology). But this new wave of AI may take some time for people to get used to, as it introduces more explicit ways to perform tasks on smartphones, rather than blending into existing functionality.
AI can quickly become a casualty — and not everyone will be sold.
As tech giants continue to roll out these AI capabilities, consumers may soon have to pay a price if they want to continue using them. Samsung’s website states that the Galaxy AI feature will be “free on supported Samsung Galaxy devices until the end of 2025.” To take full advantage of Gemini’s features across Google’s apps, you need to subscribe to Gemini Advanced. And perhaps Apple could one day charge for some of the iPhone’s AI-powered features.
Many consumers cannot sell. Almost half of smartphone owners say they are not willing to pay extra to access AI on their smartphones. This isn’t all that surprising considering how much subscription fatigue is already taking a toll on people. Another CNET survey conducted in April found that U.S. adults spend an average of $91 each month on subscription services. Two-thirds of respondents said at least one subscription had increased in price within the past year. Therefore, adding an additional monthly fee may not be very attractive.
Still, there are people who want to leverage AI on their phones. Gen Z and Millennials are the most enthusiastic. 20% of respondents in each generation are excited about AI capabilities and find them useful. Additionally, 15% of Gen Z and 16% of Millennials use AI on their smartphones for tasks such as photo editing, image creation, and text summarization and creation. Additionally, 20% of Gen Z and 19% of Millennials regularly use AI tools like ChatGPT and Google Gemini on their smartphones.
Privacy remains a key concern when it comes to AI, with one-third (34%) of smartphone owners saying they feel uneasy about that department. Big tech companies are increasingly making privacy considerations a priority in their AI-focused keynotes. For example, Apple pointed out at its Worldwide Developers Conference in June that many of its AI models run on devices, but are generally more private because the information doesn’t have to travel over the internet. It is considered. When a task requires more computing power, the relevant data is sent to Apple Silicon servers, and that data is not stored or made accessible to Apple, the company said.
The biggest reason to upgrade your phone
AI is one of the last reasons consumers want to upgrade their smartphones, so other considerations like longer battery life, more storage capacity, and better camera capabilities remain important. Other motivations include the phone’s display and screen size (32%). Maintain the same ecosystem, such as iOS or Android (24%). Phone color (10%).
Because of the high price of the devices (many flagship phones cost between $800 and $1,200), consumers may not want to upgrade their devices as often. According to our research, 44% say they only buy a new device when their current phone breaks or needs a replacement. Additionally, 30% have kept their device for more than three years, while 18% upgrade every two years and only 8% buy a new phone every year.
Fortunately for consumers, Apple did not implement a price increase on the iPhone 16. Still, iPhone users keep their devices longer than other smartphone owners. One-third will wait three years or more before upgrading.
The foldable phone promotion isn’t over yet.
Companies like Google and Samsung continue to release foldable phones, with the latest being the Pixel 9 Pro Fold, Galaxy Z Flip and Fold 6, respectively. However, consumers are still lukewarm to the concept of foldable handheld devices. Just over half (52%) of smartphone owners say they are not interested in purchasing a foldable smartphone, while 13% say they are interested in purchasing one within the next two years.
This gives Apple, which has not yet entered the foldable phone space, an opportunity to capitalize on that interest. Experts have long speculated that a foldable iPhone would be needed to accelerate the adoption of foldable smartphones. But it could be years before that happens, if at all.
methodology
All figures are from YouGov Plc unless otherwise stated. The total sample size was 2,484 adults, of whom 2,387 were smartphone owners. The field survey was conducted from August 28-30, 2024. The survey was conducted online. This number is weighted and representative of all U.S. adults (18 and older).
