Many people would never buy a new car, opting instead for used vehicles a year or two old and significantly cheaper. A similar trend will next year start to transform the smartphone market, I predict, where the supply of used phones is going to take off.
And that will permanently change the market for new smartphones. Both iPhones and Android devices could be affected. A flood of cheap used iPhones could displace demand for Android phones in markets like India, where the pricier iPhone has a particularly low market share. But it could cannibalize demand for new iPhones as well in many markets, including the U.S.