Last week, IDC reported a decline in global smartphone shipments in the second quarter of this year. According to the latest research by Market Pulse Counterpoint, the smartphone market also declined globally in the second quarter of 2023 between April and June. It also marked the eighth consecutive quarter of year-on-year declines. In the second quarter, shipments were down 8% year-on-year and 5% lower than the previous quarter.

According to Counterpoint, all markets saw declines in smartphone sales. However, the most significant decrease was seen in developed countries such as the USA, Western Europe and Japan with double-digit decreases. By contrast, China, India, the Middle East and Africa recorded smaller decreases in shipments. The decline in smartphone sales is due to longer replacement cycles, convergence of innovations and increased demand for refurbished devices.

According to Counterpoint, all OEMs recorded negative year-over-year growth. Vivo fell 17%, followed by Xiaomi and Samsung with 12%. Apple and OPPO experienced the lowest declines in terms of growth, at 2 percent and 3 percent, respectively.

In the second quarter of 2023, Samsung was the market leader with a share of 22 percent, followed by Apple with a share of 17 percent. Xiaomi took third place on the list with a 12 percent market share, while OPPO and Vivo took fourth and fifth places. The report added that Samsung has benefited from the strong performance of the Galaxy A series globally, while Xiaomi is aiming to grow in markets outside of China and India.

Despite the decline in the global market for the eighth consecutive quarter, there were also positive developments. The premium segment (over $600 wholesale) continued to grow, with consumers seeking a better experience and affordable financing options. About 20 percent of smartphones in this category have been sold. Apple capitalized on this trend and recorded 50 percent year-over-year growth in India.

Counterpoint Research expects the market to recover in the coming quarters, thanks to healthy inventory levels, new models and consumer renewal.