05 January 2026
Egypt is gearing up to begin exporting locally manufactured mobile phones to international markets by 2026, as part of its broader strategy to enhance digital exports and bolster its ICT industrial sector. The country's aim is to increase production from 10 million devices in 2025 to 15 million in 2026, signaling a significant push to develop a robust local manufacturing base for smartphones and related technology.
During a recent meeting with designated military attachés at the Institute for Intelligence and Security Studies, Communications and Information Technology Minister Amr Talaat highlighted that the 10 million mobile phones produced this year already feature a 40% local value-added content. He further revealed that Egypt has successfully attracted 15 international mobile phone brands to establish local production facilities, aligning with its vision to transform the ICT industry into a strategic manufacturing hub.
This initiative comes at a time when the global smartphone market continues to expand rapidly. According to Research Nest, the market's value is projected to reach approximately $1.12 trillion by 2035, nearly doubling from $609.2 billion in 2025. This growth is driven by complex supply chains, increased imports, and expanded assembly operations, especially as the industry rebounds from the challenges posed by the COVID-19 pandemic, which disrupted supply chains and dampened consumer spending in 2020.
The GSMA estimates that by 2024, around 250 million people worldwide will have adopted smartphones, bringing the total number of users to 4.4 billion—about 54% of the global population. However, the organization also notes that nearly a third of the 3.1 billion people covered by mobile broadband networks but not using mobile internet own devices but are either unable or unwilling to access online services. Additionally, roughly 2 billion individuals have no devices at all, highlighting significant untapped market opportunities and ongoing connectivity challenges.
Despite these promising prospects, the international smartphone market faces hurdles. The International Data Corporation (IDC) predicts a slight decline of 0.9% in global smartphone shipments in 2026, primarily due to shortages of components and shifts in product cycle timing. The ongoing global shortage of memory components is expected to constrain supply and push prices higher, particularly impacting entry-level and mid-range Android smartphones, which are more sensitive to cost fluctuations. This complex landscape presents both opportunities and challenges for Egypt’s ambitions to enter and expand within the global mobile phone industry.
