Key facts
- Global smartphone shipments decreased by 11% in the second quarter.
- This marks the lowest shipment level for the second quarter since 2013.
- Memory chip shortages contributed to higher smartphone prices and lower demand.
- Apple's shipments increased by 3%, securing a record 20% market share.
- Samsung led the market with a 24% share, driven by strong sales of its Galaxy S26 series.
- Xiaomi, Oppo, and Vivo saw the most significant shipment declines.
Global smartphone shipments experienced an 11% decline in the second quarter, marking the lowest level for that period since 2013, according to Counterpoint Research. The downturn is attributed to a persistent memory chip shortage that has driven up component costs, leading to higher handset prices and reduced consumer demand, particularly for entry- and mid-range devices.
Memory chip suppliers have prioritized AI data center customers, exacerbating the shortage for consumer electronics. Manufacturers are passing these increased costs onto consumers through price hikes.
Despite the overall market slump, Apple bucked the trend with a 3% rise in shipments, achieving a record 20% global market share in the quarter. This was supported by resilient demand for its premium iPhone lineup and stable pricing. However, analysts anticipate price increases in the coming months.
Samsung regained the leading position with a 24% market share, boosted by strong sales of its flagship Galaxy S26 series, better product availability, and fewer price adjustments in markets like India and the Middle East. Other major players, including Xiaomi, Oppo, and Vivo, faced the steepest shipment declines due to their higher exposure to the more affected entry- and mid-range segments.
Counterpoint Research forecasts a global smartphone shipment decline of approximately 14% for the full year and anticipates the memory chip shortage to persist into 2027.