The global smartphone market showed signs of recovery ending a long period of continuous quarterly year-over-year declines thanks in part to 5G support, according to Counterpoint Research (www.counterpointresearch.com).
Shipments during the third quarter 2019 were flat at 380 million units. The two markets that helped halt the slide are India, which has been growing steadily, and China, now showing a slower decline. Counterpoint believes that smartphone manufacturers with the largest installed bases, especially in developed regions, will rely on 5G as a of differentiation and will encourage their users to upgrade. The research group feels that the upcoming holiday season should drive smartphone demand into growth for the second half of the year and notes that:
Highlights:
° Samsung continued its growth thanks to strong sales of the Galaxy Note 10 and Galaxy A series. The improved product-mix helped it post better profits.
° Huawei grew a healthy 28.5% YoY globally. It captured a record 40% market share in China. It rebounded in Europe after the decline mid-year caused by the US trade ban. As it continues its aggressive push, there’s an increased need for careful inventory management in China and Europe in quarter four of 2019.
° Apple iPhone shipments were down 4% year-over-year. However, initial uptake for the iPhone 11 series was robust. In the US, pre-orders and the first week of sales, saw more demand for the iPhone 11 Pro Max and iPhone 11 Pro, but the standard iPhone 11 rose quickly into the best-seller’s list.
° Apple’s price corrections in China and elsewhere with iPhone 11 and iPhone XR stimulated demand during the last week of September.
° Realme was the fastest-growing brand for the second successive quarter, capturing 7th place globally. Strong performances in India and Indonesia drove its growth.
