Connect with us


Samsung and Apple Contribution to Smartphone Market Decline





Counterpoint’s report suggested that the global smartphone shipments has declined by 4 percent annually in 2018, and has also seen a record decline of 7 percent in the fourth quarter of last year. Particularly, Apple and Samsung, have seen a decline in shipments because of their high price points, no ground-breaking innovation, and tough competition from brands such as Huawei, Oppo, and Vivo. Poor smartphone sales in China have been largely responsible in the overall decline of smartphone shipments. Even in such a market scenario, brands such as Huawei and Xiaomi have flourished, mainly due to their success in the Indian market.

Samsung has managed to ship 291.8 million smartphone units in CY2018, in comparison to shipping 318.1 million smartphone units in CY 2017. Their market share has reduced to 19 percent, which was 20 percent in 2017. Their fourth quarter shipments have reduced from 74.4 million units in Q4 2017 to 69.8 million units in Q4 2018.

Apple has also witnessed a decline, and 215.8 million units had been shipped in 2017 and only 206.3 million units were shipped in 2018. Their market share has remained intact at 14 percent. Their fourth quarter shipments have declined from 77.3 million units in Q4 2017 to 65.9 million units in Q4 2018.

Huawei has witnessed a boost in sales with 205.3 million units shipped in 2018, in comparison to 153.1 million units shipped in 2017. Their market share has increased from 10 percent in 2017 to 14 percent in 2018. If such a momentum continues, Huawei ill soon leave Apple behind in the global smartphone market share and will take up the second spot soon. In terms of the fourth quarter numbers, Huawei has managed to sell 59.7 million units in Q4 2018, which is a huge leap from 41 million units shipped in Q4 2017.

Xiaomi has also had a good year, and 121 million units were shipped in all of 2018 in contrast to 96 million in 2017. Their market share has increased to 8 percent in 2018, from 6 percent in 2017. Sales in the fourth quarter have saw a decline from 31 million in Q4 2017 to 26.5 million in Q4 2018.

The report has blamed OEMs’ for their high price tag on smartphones which have no ground-breaking innovation which would convince the consumers to upgrade their old phones.

Tarun Pathak, the Associate Director at Counterpoint Research said, “The decline in smartphone shipments can be attributed to the long replacement cycles in developed markets such as the US, China, and Western Europe. Smartphone OEMs have tried to push sales by adding features like AI, multiple camera assemblies, full-screen displays, on-screen fingerprint scanners etc. but consumers have held on tight to their devices due to the absence of any ground-breaking innovations but higher prices of devices which were offered by the OEMs.

Please follow and like us:
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *