Global smartphone shipments are expected to reach 1.2bn this year, an increase of 19 per cent from last years figure as economy smartphone sales surge.

The figures come from mobile analyst firm Juniper Research, who predict that between them, Apple and Samsung will account for nearly 45 per cent of the smartphones shipped this year, but the firms are facing pressure from local vendors in emerging markets, such as Chinas extremely successful Xiaomi.

These new manufacturers and vendors are building increasing market shares, and achieving large economies of scale which will enable them to expand their offering and challenge other smartphone sectors in the next few years.

Googles partnership with local vendors as part of its Google One initiative will also put pressure on larger manufacturers to fight harder in the low-cost smartphone market, or gamble by concentrating their efforts on higher-end spenders. The report by Juniper Research showed that the average selling price of a smartphone has continued to decline globally, and is expected to drop to $274 (£168) by 2019.

The report also indicated that Apples new iPhone 6 Plus, while not strictly classified as a phablet, does have the potential to shift the dynamics of the oversized-smartphone market, that has previously been dominated by Samsung.