Nubia Technology unveils its latest AI-powered handset Z70 Ultra. [Photo provided to chinadaily.com.cn]

The future of the smartphone industry is set to be transformed by generative artificial intelligence technology, which will drive product upgrades and will represent a significant opportunity for smartphone manufacturers, industry experts said.

Global market consultancy IDC forecasts that global generative AI smartphone shipments will grow 364 percent year-over-year in 2024, reaching 234.2 million units.

The triple-digit growth this year will be followed by four consecutive years of double-digit growth as device manufacturers look to incorporate AI features across their device offerings, it said, adding generative AI will completely transform the way people interact with their mobile phones.

IDC also noted that over 70 percent of terminal devices in the Chinese market will feature AI functionality by 2024, and AI devices will account for 55 percent of the total market share.

Eyeing the immense growth potential in China's AI-powered handset market, Chinese smartphone manufacturer Nubia Technology has unveiled its latest AI smartphone Z70 Ultra.

Nubia's latest flagship handset Z70 Ultra is equipped with an AI-powered operating system called Nebula AIOS that supports voice interaction functionality and boasts real-time translation capabilities.

The phone integrates China Telecom's AI models covering natural language, speech, imaging, vision and multi-modalities. In collaboration with ZTE Corp and China Telecom, Nubia said it continues to provide personalized AI products and services.