Preliminary data from the International Data Corporation (IDC) highlights a challenging fourth quarter for Apple (NASDAQ: AAPL) and Samsung (KS: 005930), as both companies faced increasing competition from Chinese manufacturers like Xiaomi, Oppo, and Honor.
Key Insights from the Global Smartphone Market
Market Share Shifts
In 2024, Apple retained its top spot with an 18.7% global market share, followed by Samsung at 18% and Xiaomi at 13.6%.
Despite maintaining leadership, Apple’s shipments fell by 4.1% to 76.9 million units, and Samsung’s dropped by 2.7% to 51.7 million units.
Chinese manufacturers collectively shipped 56% of the world’s smartphones in Q4, marking a record-high market share for a single quarter.
Rapid Expansion of Chinese Companies
Xiaomi, Oppo, and Honor gained significant traction by focusing on low-end and mid-range devices and expanding aggressively in Europe and Africa.
Xiaomi posted the fastest growth among the top five brands, with a 15.4% increase in shipments year-over-year.
Global Smartphone Market Trends
The global market rebounded in 2024 after two years of decline, driven by surging demand for budget-friendly devices and robust domestic sales in China.
However, demand for foldable devices showed a surprising decline, even with intensified promotions and marketing efforts.
Challenges and Uncertainties
Tariff Concerns: IDC warns of potential new tariffs under the incoming U.S. administration, creating uncertainty for the global smartphone industry.
Competitive Pressure: Both Apple and Samsung must innovate and compete more aggressively in pricing to counteract the growing dominance of Chinese brands.
Outlook for 2025
While the global smartphone market is expected to continue growing, Apple and Samsung face challenges in reclaiming market share amid strong competition and evolving consumer preferences.
For an in-depth analysis of financial performance:
Utilize the Full Financials API for Apple and Samsung.
Access the Financial Growth API to explore historical trends in revenue and profitability for leading smartphone companies.
