Tag: market share

  • HarmonyOS Overtakes iOS in Market Share for the First Time

    HarmonyOS Overtakes iOS in Market Share for the First Time

    Huawei’s HarmonyOS operating system has marked a significant achievement in the Chinese market, as per data from Counterpoint Research. In the first quarter of 2024, HarmonyOS overtook Apple’s iOS for the first time, becoming the second-most popular mobile operating system in China.

    Market Share Surge

    The report indicates a notable rise in HarmonyOS’s market share, which increased from 8% in Q1 2023 to 17% in Q1 2024. Concurrently, iOS’s share dropped from 20% to 16%.

    This marks the first instance since Q1 2019 that iOS has experienced a reduction in market share during the first quarter in China. The decline is partly attributed to the release of new 5G smartphones by Huawei, which pose direct competition to Apple’s offerings.

    Global Expansion

    HarmonyOS’s growth extends beyond China. Globally, its market share doubled year-on-year, reaching 4% in Q1 2024. In contrast, both Android and iOS experienced minor drops from 78% and 20% in Q1 2023 to 77% and 19%, respectively.

    Despite this, Android saw a month-on-month recovery in Q1 2024, while iOS’s share fell from 23% in Q4 2023 to 19% in Q1 2024. Counterpoint attributes this decline to the seasonal variations typical of iPhone releases.

    HarmonyOS is witnessing strong 5G adoption. According to Counterpoint, the adoption rate increased from 9% in Q1 2023 to 50% in the first quarter of this year. The report also indicates that Huawei’s focus on localizing its supply chain is expected to sustain this growth trend.

    Counterpoint’s findings are consistent with a forecast report by TechInsights released in January 2024, which predicted that HarmonyOS would surpass iOS to become the second-largest smartphone operating system in China by year-end.

    HarmonyOS Overtakes iOS in Market Share for the First Time
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  • Samsung Explores Entry-Level Galaxy Z Fold 6 to Expand Market

    Samsung Explores Entry-Level Galaxy Z Fold 6 to Expand Market

    Samsung Mulling Over Introducing Low-Cost Model for Next-Gen Foldable Phone

    Rumors suggest that Samsung is exploring the possibility of unveiling an entry-level version for its upcoming foldable phone. Speculations about Samsung’s work on an economical foldable gadget have surfaced in the past as well. Last year, there were murmurs that the company might launch Galaxy Z FE foldables post the Z Fold 6 release. The most recent report offers a compelling rationale for Samsung to roll out a cheaper iteration of its foldable phone.

    A More Affordable Iteration of the Galaxy Z Fold 6

    As per the Korean publication The Elec, Samsung is contemplating creating a pocket-friendly variant of the forthcoming Galaxy Z Fold 6. This doesn’t imply that the standard Z Fold 6 will be abandoned; rather, a budget-friendly model with pared-down specifications could be introduced. The entry-level model is anticipated to make its debut in the latter half of 2024, conceivably alongside the next-gen Z Fold 6 and Z Flip 6 at Samsung’s upcoming Unpacked event in August. This hints at the potential release of three foldable devices this year.

    Targeting the Chinese Market

    The alleged decision to unveil a more affordable Galaxy Z Fold is purportedly influenced by Samsung’s market share in China’s foldable smartphone sector. Presently, local brands hold dominance in the market, with Samsung ranked third, holding a 19 percent share behind Huawei and Honor. Samsung has consistently held double-digit market shares in China’s foldable segment, surpassing its share in the traditional slab phone sector, which remains under 1 percent. Introducing an entry-level Galaxy Z Fold 6 could potentially elevate Samsung’s shipments and market position in China.

    Emphasis on the Z Fold Series

    The report also indicates that Samsung is giving priority to the Z Fold series over the Z Flip series due to the former’s superior potential in terms of form factor and productivity. The Z Fold devices have already made a mark in the market and are performing well, making them a strategically advantageous choice for Samsung.

    Potential Ramifications on Samsung’s Financial Performance

    While Samsung presently holds a strong position in the global foldable smartphone market, introducing a cost-effective version of the Galaxy Z Fold 6 could offer the company a competitive edge against its rivals. However, this initiative could also have negative repercussions on Samsung’s financial profitability. The uncertain economic landscape and concentrated demand for high-end products might pose challenges for the company.

    In summary, Samsung is reportedly contemplating the launch of a low-cost variant of its next-generation foldable phone, the Galaxy Z Fold 6. This strategic move aims to enhance Samsung’s market share in China’s foldable smartphone sector, which is presently dominated by local players. While this decision could provide Samsung with a competitive advantage, it also presents potential hurdles in terms of financial performance. Nonetheless, the introduction of a more budget-friendly foldable device could be a shrewd maneuver for Samsung in the evolving smartphone market.

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  • Europe’s Smartphone Shipments Decline Lessens, Fostering a Shift towards Sustainable Growth by 2024

    Europe’s Smartphone Shipments Decline Lessens, Fostering a Shift towards Sustainable Growth by 2024

    Samsung and Apple Sales Saga in Europe – Q3 2023

    According to a recent report by Canalys, smartphone shipments have seen a continuous decline, but there is hope for a slight increase in demand next year. The decline has been narrowed to 6%, with a total of 32 million shipments in Q3 2023. Despite this decline, Samsung and Apple have managed to retain their top positions in the market, with a market share of 25% and 22% respectively. Additionally, Xiaomi, Motorola, and TCL have seen good sales in the quarter and are expected to experience overall sales growth in Europe.

    Challenges for Apple and Samsung

    Both Apple and Samsung have faced challenges this quarter. Retailers have been trying to reduce stocks of old smartphones, which has led to a decline in shipments. Samsung attempted to shift its focus from the Galaxy A Series to the more profitable mid-range smartphone, the S Series Flagship, and foldable devices. This strategy has resulted in resilient demand. On the other hand, Apple's USB Type-C cable-led iPhone 15 has seen an increase in shipments by 59%. However, to reduce overstocking of iPhone 14 and older models, retailers temporarily paused shipments, resulting in an overall decrease in shipments in Q3 2023.

    Market Share Breakdown

    Samsung remains at the top with a 35% overall smartphone market share, while Apple follows closely behind with a 22% market share. Xiaomi has seen strong demand in the mid-range segment with its Redmi Series, capturing 19% of the market share. Motorola and TCL have gained 5% and 3% market share respectively.

    Growth in Low-to-Mid-Range Segment

    Xiaomi, Motorola, and TCL have registered significant growth in shipments, particularly in the low-to-mid-range segment. Samsung's shift in focus from the low-end to the high-end market has created an opportunity for these OEMs to thrive. Xiaomi has experienced the largest growth, thanks to the sale of its Redmi and Redmi Note 12 models in the Central and Eastern Europe regions. Motorola has also performed well, with a 30% year-on-year increase in shipments.

    A Promising 2024 for Smartphone OEMs in Europe

    Canalys predicts that the European smartphone market will grow by 4% in 2024. The remainder of this year will be crucial for vendors as they seek to improve their performance in 2023 and start 2024 with positive momentum. It is important for them to clear out channel inventory ahead of new product launches in the first half of 2024. Market experts believe that the European market will see improvements in 2024, driven by the refresh cycle of mid-range devices purchased in 2020 and 2021. Additionally, other factors such as positive market momentum and ongoing festive season discounts are expected to contribute to increased sales in the coming year.

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