Apple’s smartphone shipments declined about 10% in the first quarter of 2024, as Android smartphone makers intensify their competition for the top spot. Global smartphone shipments overall increased by 7.8% to 289.4 million units during January-March, with Samsung overtaking Apple as the top phone-maker with a market share of 20.8%. This decline for Apple follows a strong performance in the December quarter when it surpassed Samsung as the world’s leading phone maker. However, Chinese brands such as Huawei are gaining market share, pushing Apple back to the second spot with a market share of 17.3%.
During the first quarter of 2024, Samsung shipped more than 60 million phones following the launch of their latest flagship smartphone lineup, the Galaxy S24 series. Global sales of Galaxy S24 smartphones saw an increase of 8% compared to the previous Galaxy S23 series during the first three weeks of availability, according to data provider Counterpoint. On the other hand, Apple shipped 50.1 million iPhones in the first quarter, down from 55.4 million units in the same period last year, according to IDC. Apple’s smartphone shipments in China also decreased by 2.1% in the final quarter of 2023 compared to the previous year, reflecting challenges in one of its major markets due to restrictions imposed by Chinese companies and government agencies.
The drop in Apple’s smartphone shipments in China highlights the challenges the company faces in its third-largest market, where Chinese companies and government agencies are limiting employees’ use of Apple devices. This move mirrors the restrictions imposed by the US government on Chinese apps for security reasons. In June, Apple will hold its Worldwide Developers Conference, where it is expected to announce updates to the software powering iPhones, iPads, and other devices. Investors are particularly interested in hearing about any developments in artificial intelligence at Apple, as the company has not yet disclosed much about incorporating AI technology into its products. Earlier this year, Apple lost its position as the world’s most valuable company to Microsoft.
In the midst of intensifying competition and challenges in key markets, Apple’s smartphone shipments experienced a decline in the first quarter of 2024. Despite this, global smartphone shipments saw an overall increase, with Samsung surpassing Apple to become the top phone-maker with a market share of 20.8%. Chinese brands like Huawei are gaining market share, contributing to Apple’s drop to the second spot with a market share of 17.3%. Samsung’s latest flagship smartphone lineup, the Galaxy S24 series, saw strong sales during the first quarter, shipping over 60 million phones and experiencing an 8% jump in sales compared to the previous Galaxy S23 series. On the other hand, Apple shipped 50.1 million iPhones, marking a decrease from the previous year.
Apple is facing challenges in China, with a decline in smartphone shipments in the country as Chinese companies and government agencies restrict employees’ use of Apple devices, similar to US restrictions on Chinese apps. The Cupertino-based company will be showcasing updates to its software at the Worldwide Developers Conference in June, with investors eagerly anticipating any developments in artificial intelligence. Despite these challenges, Apple remains a major player in the smartphone market, and its performance in key markets and competition with Android smartphone makers will continue to be closely monitored.
