Global smartphone market recovers with Samsung, Apple ahead of Chinese brands Xiaomi, Vivo

The global smartphone market grew by 6 per cent year on year in the second quarter, with Apple and Samsung Electronics occupying the top two spots, followed by Chinese brands Xiaomi, Vivo and Oppo, according to a Counterpoint Research report released on Monday.

This marks the best year-on-year growth since the second quarter of 2021, with sales rising across all regions, especially in the European and Latin American markets. In China, the resurgence of Huawei Technologies and consumer demand during the midyear 618 shopping festival contributed to the growth, Counterpoint noted.

“Sales were at the lowest point in a decade in 2023 but the market was quick to rebound thanks to improving consumer sentiment and inventory positions,” Tarun Pathak, a director at Counterpoint, wrote in a note.

Separately, industry research firm IDC’s latest data showed a 6.5 per cent year-on-year increase in global smartphone shipments to 285.4 million units in the June quarter.

IDC said generative artificial intelligence (GenAI) smartphones might become the next growth driver after 5G and foldable devices.

“GenAI smartphones are expected to grow faster than any mobile innovation we have seen to date, forecast to capture 19 per cent of the market with 234 million shipments this year,” Nabila Popal, research director with IDC’s Worldwide Tracker team, said in a recent report.

Xiaomi, the smartphone maker that also placed a big bet on electric vehicles, was the fastest-growing brand among the world’s top five in the second quarter. Its global shipments rose 22 per cent year on year in the period, capturing a 16 per cent market share, trailing only Samsung and Apple, according to Counterpoint data.

The popularity of the Redmi 13 and Note 13 series, along with a more streamlined product line-up and a stronger push into high-end handsets, helped Xiaomi gain another 2 per cent share in the second quarter.

Vivo, currently the top smartphone brand in both India and China, saw a 9 per cent year-on-year increase in shipments, securing an 8 per cent global market share. Vivo, headquartered in Dongguan, is reportedly in talks to sell its stake in an Indian factory to the domestic conglomerate Tata Group, as New Delhi tightens its scrutiny of foreign businesses operating within the country.

The combined market share of the top five brands – Samsung, Apple, Xiaomi, Vivo, and Oppo – declined year on year, primarily due to pressure from Huawei, Honor, Motorola and Transsion Group’ brands including Tecno, Infinix and iTel.

US-sanctioned Huawei stood out as the best performer among all brands in China, with a 69.7 per cent year-on-year growth in shipments in the first quarter, the latest period reported by Counterpoint. Huawei’s home-grown HarmonyOS platform overtook Apple’s iOS to become the second-largest mobile operating system in mainland China during this period, accounting for a 17 per cent market share, according to Counterpoint.