Global smartphone market declines in Q1 2023, Apple’s share grows – Times of India

Global smartphone shipments fell by 13% year-on-year (YoY) to 269.8 million units in the first quarter of 2023 (Q1 2023), a new report has said. While Samsung remained in the top spot, Apple was the only company among the top five vendors to register growth in the quarter which ended on March 31, 2023.
According to Canalys’ latest research, the decline in smartphone demand has started to flatten but the contrast between shipments in Q1 2022 and Q1 2023 is still stark.
Samsung tops shipment charts
Samsung reclaimed its pole position and shipped 60.3 million units, despite registering an 18% decline in total shipments. However, a refreshed product portfolio drove the company to stay ahead of its competitors.
“Samsung’s performance shows early signs of recovery after a tough end to 2022. The rebound is particularly connected to product launches, which drove an increase in sell-in volume. Still, Samsung will have to navigate through a difficult landscape going forward, particularly as entry-level device inventory remains high,” said Canalys analyst Runar Bjørhovde.

Apple only company to grow
Apple took the second spot with 58.0 million shipments YoY. It was the only brand among the top five to grow year-on-year registering a 3% growth and a strong 21% market share.
“Apple had robust performance in Q1, particularly in the Asia Pacific region. Here, Apple’s sustained investments into offline channels enabled it to attract a burgeoning middle-class, which places high value on the in-store purchasing experience,” Bjørhovde added.
Xiaomi’s share fell big
Xiaomi defended its number three position with 30.5 million shipments, however, the Chinese company witnessed a maximum 22% decline and grabbed 11% market share.

Oppo, Vivo complete top 5 list
Oppo and Vivo completed the top five, shipping 26.6 million and 20.9 million units, respectively, securing 10% and 8% market shares.
According to Canalys Research analyst Lucas Zhong, the mid-range price segment has started to recover following huge declines last year.
“Vendors are leveraging trade-down opportunities with strong value-for-money offers for consumers with limited spending power. This is supported by decreasing component prices and vendors accelerating spec upgrades for mid-range product portfolios. However, mid-range demand in 2023 will remain limited due to the macroeconomic challenges and missing differentiators within this price band, Zhong added.

Marginal declines on 2023
According to Zhong, the market remains challenging and Canalys maintains its forecast of marginal declines for 2023. The analyst said that smartphone shipments will stabilise around the levels from 2022 as we move into the middle of 2023.
“Canalys expects the smartphone market will gain momentum in the second half of the year as channel inventories reach healthier levels. Vendors are cautiously approaching the market with profitability targets, lean operations and inventory clearing as top priorities,” Zhong noted.