Approximately 1.25 billion smartphones are expected to ship in 2014 and will pass the two billion mark in 2018. The compound annual growth rate (CAGR) over the forecast period from 2014-2019 is 12%, according to ABI Research.

"While smartphone growth is beginning to fall, plenty of growth remains, with smartphone penetration of mobile subscribers under 30% worldwide," commented Nick Spencer, senior practice director at ABI Research. "Most advanced and affluent markets already have 60% plus penetration, so the growth is driven by developing markets and the reduction in smartphone ASPs."

Smartphones will consolidate their lead as the largest computing category, more than doubling that of its nearest rival in 2017. Growth is being driven by China and India smartphone vendors, creating low-cost Android or AOSP devices for markets in Africa, Asia, the Middle East and Latin America, the firm said.