About 82 per cent of consumers buying AI-enabled smartphones consider data transparency practices essential for building trust in a brand, according to the Smartphone AI Pulse 2026 study by CyberMedia Research (CMR).
The study surveyed 2,000 respondents aged between 18 and 35 across eight Indian cities.
According to the report, only 15 per cent of consumers said they would prefer advanced hardware over AI features if both smartphones were priced the same. Around 25 per cent identified themselves as "AI-first" buyers, while 60 per cent preferred a balance between AI features and strong hardware.
Overall performance emerged as the top factor influencing purchase decisions, with 78 per cent of respondents citing it as the most important consideration. Nearly 70 per cent said AI-enhanced camera capabilities influenced their buying decision, while 59 per cent pointed to high-performance AI features.
The study found that 77 per cent of consumers regularly use AI features for photography, including low-light enhancement, portrait mode and scene detection. Around 71 per cent said they use AI multiple times a week for tasks such as information searches, writing assistance, summarisation, translation and conversations with AI.
About 57 per cent of respondents said they understand and actively use AI features on their smartphones, while the remaining users said they use them only partially. Half of the active users reported using five or more AI features.
The report also found that 68 per cent of consumers were aware of the role AI chipsets play in improving gaming performance, battery life, photography and reducing input lag. Among Gen Z respondents, awareness of AI chipsets stood at 83 per cent.