New Standards Reshape Device Markets

European rules on repairability and longer product lifecycles are already influencing manufacturers, distributors and retailers. Intelkom is using this year to adapt its models, service approach and product categories. Higher component prices and stricter requirements create market pressure, but also open space for better and longer-lasting devices.

New European requirements for mobile devices are reshaping how manufacturers, distributors and retailers design their ranges, organise after-sales support and calculate product lifecycles. Speaking to ICTbusiness Media - ICTbusiness.info & ICTbusiness TV, Mladen Gašpert of Intelkom describes the current year as a transition period in which the company is adjusting to new standards, revising its line-up and preparing a broader presentation for the next IFA.

Intelkom did not return to Berlin with the large exhibition booth used in previous years. Instead, it arranged a smaller meeting space for existing and potential partners, product demonstrations and discussions about future business. “This is a development year for us, with changes to our models and alignment with new European standards,” Gašpert says. The reduced footprint should therefore be read as preparation rather than retreat, with the company planning to return with a renewed portfolio.

The regulatory shift is already changing the devices themselves. Manufacturers are being pushed towards easier repair, access to spare parts, clearer instructions and longer-lasting batteries and displays. “Devices must be repairable, parts must be available, and users need instructions that allow them to carry out certain procedures themselves,” Gašpert explains. The broader objective is to move away from the idea of the phone as a disposable product designed for rapid replacement.

Battery durability is one of the central issues. Gašpert says new products should withstand at least 300 charging cycles while retaining most of their original capacity. Stronger display protection and more robust housings are also becoming important, particularly for conventional, non-foldable devices. “The goal is to make phones last longer and reduce electronic waste,” he says. That reduction is one of the main reasons the European Union is insisting on repairability and more durable components.

The improvements will not come without additional cost. Better materials, stronger construction, service documentation and the obligation to keep replacement parts available all add expense. “Devices will become slightly more expensive, but they should last for around four years rather than only one or two,” Gašpert says. The increase may be particularly difficult for older consumers and lower-income buyers, although a longer usable life should reduce the need for frequent replacement.

The market is still moving towards smartphones, but the category is becoming more expensive and technically demanding. The same environmental criteria apply to batteries, displays, water resistance and serviceability. “Smartphones will continue to dominate, but prices are also moving upwards,” Gašpert warns. He expects unit sales to remain broadly similar to the previous year, while market value may rise because of higher average prices and new device categories.

Intelkom is therefore looking beyond traditional phones. Its newer products include smart glasses and a portable battery-powered pump for car tyres, while more gadgets are scheduled for launch before the end of the year. “The market could achieve modest growth thanks to these new categories,” Gašpert says. Such products will not replace smartphone sales, but they can create additional revenue and attract customers looking for practical, simple and reasonably priced technology.

Component pricing creates another layer of pressure. Memory, processors and other critical parts are becoming more expensive as major global manufacturers absorb very large volumes of hardware. “Demand from the largest companies for memory and CPUs is pushing prices higher,” Gašpert says, specifically mentioning Apple as one of the businesses with substantial requirements. Distributors must therefore plan inventories and purchasing schedules more carefully while standards and product portfolios change simultaneously.

Gašpert expects next year to be more important for Intelkom in terms of visibility and commercial execution. The company intends to return to IFA with a stronger presence and a range adapted to the new European framework. “This year is about preparing the ground; next year we want to present the complete new portfolio,” he concludes. The decisive task will be to balance sustainability, repairability and affordability because customers are unlikely to accept the new generation of devices unless all three elements are credible.