Apple saw a significant decline in global iPhone shipments in the first quarter of 2024, dropping by nearly 10 percent compared to the same period last year, according to a report from the International Data Corporation (IDC). Cupertino shipped 50.1 million units, down from 55.4 million in the previous year, marking the “sharpest” decline among the top five smartphone brands.
Samsung reclaimed the top position in the market, regaining its lead from Apple, with a 20.8 percent market share and 60.1 million units shipped, consistent with its overall performance in the previous year. Meanwhile, Apple’s market share fell to 17.3 percent from 20.7 percent (in the first quarter of 2023).
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Xiaomi makes comeback, Transsion surprises
The rise of Chinese players particularly Xiaomi and Transsion Holdings (which sells smartphones under Tecno, Itel, and Infinix brands) are said to have contributed to Apple’s decline, in part, the other reason being less than stellar showing in China — the world’s largest smartphone market.
“While IDC expects these two companies [Samsung and Apple] to maintain their hold on the high end of the market, the resurgence of Huawei in China, as well as notable gains from Xiaomi, Transsion, Oppo/OnePlus, and Vivo will likely have both OEMs looking for areas to expand and diversify,” said Ryan Reith, group vice president at IDC Worldwide Mobility and Consumer Device Trackers.
Xiaomi saw a 33.8 percent increase in shipments to 40.8 million units “coming back strong from the large declines experienced over the past two years.” But the bigger surprise has turned out to be Transsion, which seems to have quietly emerged as the fifth-largest smartphone manufacturer globally seeing an 84.9 percent jump in shipments to 28.5 million units, as per the research firm.
Xiaomi, Transsion, and Oppo secured the third, fourth, and fifth positions in terms of market share, with 14.1, 9.9, and 8.7 percent, respectively. Oppo, however, faced an 8.5 percent decline in shipments to 25.2 million units.
Interestingly, Huawei and its spinoff, Honor, despite being strong performers in the first six weeks of 2024, did not make it to the top five list. Huawei’s resurgence in China, particularly with the launch of the Mate 60, has reportedly added pressure on Apple in the region.
Market recovery
Despite the challenges faced by some players, the overall smartphone market saw a 7.8 percent year-over-year growth in the first quarter of 2024, reaching 289.4 million units. This positive trend indicates that a recovery is underway, according to IDC, signaling resilience in the face of ongoing macroeconomic challenges.
IDC researchers noted that the average selling prices of smartphones are on the rise, driven by consumers’ preference for premium models they plan to hold on to for longer periods post the pandemic. Apple likely sold a larger portion of its iPhone 15 Pro devices, leading to increased revenue per unit. Despite this, the company resorted to unconventional discounts to stimulate sales, with certain retail partners in China offering discounts of up to $180 off the standard price, Bloomberg said in a separate report.
