The global smartphone market posted 6.5% year-over-year growth in the second quarter of 2024, reaching 285.4 million units shipped. Despite this being the fourth consecutive quarter of growth, demand has not yet fully recovered and remains weak in many markets, according to preliminary data from IDC.
“While the recovery is underway with the top 5 companies all posting year-over-year gains, we are seeing increasing competition among the leaders and a polarization of price points,” said Nabila Popal, Senior Research Director at IDC. “While Apple and Samsung continue to push into the premium market, many Chinese OEMs are increasing shipments at the low end in an attempt to gain volume share in a weak demand environment.” As a result, the mid-range is suffering the most.
Samsung and Apple lead the way, but the focus is on AI
Samsung took the top spot in Q2 2024 with an 18.9% share, thanks to its flagship-focused strategy and AI. Apple ended the quarter in second place with a 15.8% share, thanks to better performances in China and other key regions. However, both companies posted modest year-over-year growth.
On the other hand, Chinese producers continue to grow steadily: Xiaomi ranked third with a 14.8% share, up 27.4% from the same quarter of 2023. Vivo and OPPO ranked fourth with 9.1% and 9.0% shares, respectively. Like Xiaomi, Vivo also posted double-digit growth thanks to strong performance in emerging markets and China, while OPPO’s 1.8% growth was due to continued successful expansion outside of China.
Although the recovery is underway, growth in Q2 2024 was partly supported by a low comparative base, and the overall recovery is still slow. However, Q2 is seen as a prelude to the launch of more generative AI smartphones in the second half of the year, which could be the next growth driver after 5G and foldable devices.
And what do you think about this growth trend in the smartphone market? What are your favorite smartphone brands? Let us know in the comments!
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