According to a report by the International Data Corporation (IDC), global smartphone shipments declined 3.2 per cent year-on-year (YoY) to 1.17 billion units in 2023. While this marks the lowest full-year volume in a decade, driven largely by macroeconomic challenges and elevated inventory early in the year, growth in the second half of the year has cemented the expected recovery for 2024. The fourth quarter (Q4) of fiscal year 2023-24 (FY24) saw 8.5 per cent YoY growth and 326.1 million shipments, higher than the forecast of 7.3 per cent growth.
Commenting on the report, Nabila Popal, research director, IDC Worldwide Tracker, said, “While we saw some strong growth from low-end Android players like Transsion and Xiaomi in the second half of 2023, stemming from rapid growth in emerging markets, the biggest winner is clearly Apple. Not only is Apple the only player in the Top 3 to show positive growth annually, but also bags the number 1 spot annually for the first time ever. All this despite facing increased regulatory challenges and renewed competition from Huawei in China, its largest market. Apple’s ongoing success and resilience is in large part due to the increasing trend of premium devices, which now represent over 20 per cent of the market, fuelled by aggressive trade-in offers and interest-free financing plans.”
Meanwhile, Ryan Reith, group vice president, Worldwide Mobility and Consumer Device Trackers, IDC, said, “The overall shift in ranking at the top of the market further highlights the intensity of competition within the smartphone market. Apple certainly played a part in Samsung’s drop in rank, but the overall Android space is diversifying within itself. Huawei is back and making inroads quickly within China, Brands like OnePlus, Honor, Google, and others are launching very competitive devices in the lower price range of the high end. And foldables and increased discussions around artificial intelligence (AI) capabilities on the smartphone are gaining traction. Overall, the smartphone space is headed towards a very interesting time.”
