iPhone marketshare dips to 14.8% amid tougher Chinese competition, Gartner says

Posted:
in iPhone
Apple's year-over-year drop in smartphone sales during the March quarter also caused the company to lose marketshare, though part of the shift can be linked to fast-rising Chinese smartphone makers, according to new research data.




Although Apple held onto second place, it saw its marketshare slide to 14.9 percent from 17.9 percent a year ago, Gartner said in its latest industry report. iPhone unit sales were down from approximately 60.177 million to just under 51.63 million.

Samsung remained the global leader in the smartphone market, growing sales slightly to almost 81.187 million units. Its share nevertheless slipped slightly, from 24.1 to 23.2 percent.

Perhaps the biggest reason is Huawei, which leapt ahead from a 5.4 percent share to 8.3, with sales up from about 18.111 million to 28.861 million. Another Chinese smartphone maker, Oppo, saw its share more than double from 2 percent to 4.6 percent, as its sales increased from roughly 6.585 million to over 16.112 million.

Xiaomi saw sales rise from roughly 14.740 million to 15.048 million, but this wasn't enough to keep up its share, which dipped a tenth of a percentage point to 4.3 percent.




The smartphone market as a whole grew 3.9 percent to approximately 349 million. Notably, falling out of the top five vendors -- and even the top 10 -- was Lenovo, which is however leading the global laptop market.

Apple's iPhone sales aren't expected to resume high performance until this fall, when company should ship the "iPhone 7" and "7 Plus." While the standard 7 model may be a relatively conventional upgrade, rumors have hinted that the Plus will get a dual-lens camera and a Smart Connector.
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Comments

  • Reply 1 of 65
    mj webmj web Posts: 918member
    Perhaps its time to stop resting on Apple's laurels and make a new iPhone every year instead if every (snooze) two years?
    hjmnl6SgoldfishapplehaterKawhi
  • Reply 2 of 65
    calicali Posts: 3,495member
    This is fucking disgusting.

    The fact you can just steal a company's hard work and creation and sell it right next to the original is sad.

    I watched the full 2007 iPhone keynote yesterday and it changed my view even more on IP theft. I have ZERO respect for the knockoff brands and have even more respect for Apple.

    the part where Steve says "we filed over 200 patents for this phone and we plan on protecting them". It's like he truly believed his work would be protected but the U.S. government didn't give a shit and it's probably worse in other countries.

    Imagine the billions of dollars IP theft had caused Apple?
    edited May 2016 ericthehalfbeefotoformatjbishop1039monstrosityJanNLmessagepad2100quadra 610badmonkbaconstangpscooter63
  • Reply 3 of 65
    rogifan_newrogifan_new Posts: 3,823member
    And Gartner's sales data comes from where?
    messagepad2100tmaylostkiwi
  • Reply 4 of 65
    teejay2012teejay2012 Posts: 274member
    hjmnl said:
    This doesn't surprise me at all. If you look at the offerings from midrange phones from Samsung, xiaomi, Huawei and others, you don't have to be a genius to see that's what they have to offer is on par with the top line of what Apple has to offer for a third of the prize. Their top lines are even better then the iPhone and Google now and Google services are far beyond Apple services. Apple has fallen asleep since last year. I'm afraid we'll see more decline soon. Not only in phones sold. That's how the market works. If you sell the best phones, a premium price is justified. The company Apple today is ripping of loyal customers and insulting it's intellect.
    I prefer iOS over Android. I can't use iOS unless I have an iPhone. Not sure I understand your narrowly focused rant on hardware.
    calimessagepad2100chiatmaylostkiwibaconstang
  • Reply 5 of 65
    rogifan_newrogifan_new Posts: 3,823member
    mj web said:
    Perhaps its time to stop resting on Apple's laurels and make a new iPhone every year instead if every (snooze) two years?
    What evidence is there that people want to buy a new phone every year? People don't buy new cars or furniture or appliances every year. Why does a phone need to look new every year? To me that's just change for change sake. Honestly I think slowing smartphone sales are more about maturing technology to the point where these devices are good enough. They're fast enough and the displays are high quality enough for what most people use them for. Other than cameras and battery life I'm not sure there's a lot of new technology that will make people want to buy a new phone every year. I'm not convinced that VR is going to be a mass market thing. Nothing that requires a big contraption on your face will.
    calimessagepad2100londorchiatmaypatchythepiratebaconstangpscooter63
  • Reply 6 of 65
    ericthehalfbeeericthehalfbee Posts: 4,019member
    Just look at that chart. Almost 45% of devices lumped into the "other" category. Countless no-name Android phones sold for next-to-nothing.

    And why is Gartner lumping phones of all price points into one chart? Nevermind - I know the answer. It's so they can make Apple look bad with low market share while conveniently omitting the fact the ASP for the rest of the manufacturers on that list is below $200.
    calimessagepad2100londortmaylostkiwibaconstangjony0
  • Reply 7 of 65
    If a consumer wants a smartphone and is indifferent to iOS vs. Android than that customer will most likely not buy Apple due to price and features. The newly announced Moto G4 series is not even a flagship and has specs on par with the iPhone 6s. Due to my profession I spend a ton of time with both Android and iOS. The difference between the two ecosystems is minimal at this point. iOS still gets apps earlier but with millions of apps, that advantage is no longer critical. One fact I like about Google Play is I can get a refund. So if I buy an app and dislike it within the first 15 mins or so, I can get my money back. That is a big advantage that is seldom discussed. 
    hjmnl
  • Reply 8 of 65
    cnocbuicnocbui Posts: 3,613member
    cali said:
    This is fucking disgusting.

    The fact you can just steal a company's hard work and creation and sell it right next to the original is sad.

    I watched the full 2007 iPhone keynote yesterday and it changed my view even more on IP theft. I have ZERO respect for the knockoff brands and have even more respect for Apple.

    the part where Steve says "we filed over 200 patents for this phone and we plan on protecting them". It's like he truly believed his work would be protected but the U.S. government didn't give a shit and it's probably worse in other countries.

    Imagine the billions of dollars IP theft had caused Apple?
    Who stole iOS, I must have missed that?

    The narrative used to be that Samsung would suffer in the face of Chinese competition to the point they would soon be wiped out, yet they are holding their own and it's Apple who have lost ground to the Chinese upstarts.  The S7 really saved Samsung's bacon.
    hjmnlsingularity
  • Reply 9 of 65
    SpamSandwichSpamSandwich Posts: 30,836member
    Clearly Apple has peaked. It's all over now. Phones are out, VR is in. It's been a nice ride, but now it's time to take the horse back to the barn and shoot it.

    Does that just about cover it? :smiley: 
    tmaycalisaltyzip6Sgoldfishbaconstangpscooter63
  • Reply 10 of 65
    rogifan_newrogifan_new Posts: 3,823member
    cnocbui said:
    cali said:
    This is fucking disgusting.

    The fact you can just steal a company's hard work and creation and sell it right next to the original is sad.

    I watched the full 2007 iPhone keynote yesterday and it changed my view even more on IP theft. I have ZERO respect for the knockoff brands and have even more respect for Apple.

    the part where Steve says "we filed over 200 patents for this phone and we plan on protecting them". It's like he truly believed his work would be protected but the U.S. government didn't give a shit and it's probably worse in other countries.

    Imagine the billions of dollars IP theft had caused Apple?
    Who stole iOS, I must have missed that?

    The narrative used to be that Samsung would suffer in the face of Chinese competition to the point they would soon be wiped out, yet they are holding their own and it's Apple who have lost ground to the Chinese upstarts.  The S7 really saved Samsung's bacon.
    Oh how so? As far as I know Samsung hasn't released sales data on the S7, nor have all the Chinese knock-off brands. Research firms pull these numbers out of their arse and then tech sites publish them as they're good click bait to start fanboy wars.
    messagepad2100lostkiwibaconstangpscooter63
  • Reply 11 of 65
    calicali Posts: 3,495member
    cnocbui said:
    cali said:
    This is fucking disgusting.

    The fact you can just steal a company's hard work and creation and sell it right next to the original is sad.

    I watched the full 2007 iPhone keynote yesterday and it changed my view even more on IP theft. I have ZERO respect for the knockoff brands and have even more respect for Apple.

    the part where Steve says "we filed over 200 patents for this phone and we plan on protecting them". It's like he truly believed his work would be protected but the U.S. government didn't give a shit and it's probably worse in other countries.

    Imagine the billions of dollars IP theft had caused Apple?
    Who stole iOS, I must have missed that?

    The narrative used to be that Samsung would suffer in the face of Chinese competition to the point they would soon be wiped out, yet they are holding their own and it's Apple who have lost ground to the Chinese upstarts.  The S7 really saved Samsung's bacon.
    Durr Hurr who do you think stole iOS? Durr...
    messagepad2100
  • Reply 12 of 65
    calicali Posts: 3,495member
    hjmnl said:
    This doesn't surprise me at all. If you look at the offerings from midrange phones from Samsung, xiaomi, Huawei and others, you don't have to be a genius to see that's what they have to offer is on par with the top line of what Apple has to offer for a third of the prize. Their top lines are even better then the iPhone and Google now and Google services are far beyond Apple services. Apple has fallen asleep since last year. I'm afraid we'll see more decline soon. Not only in phones sold. That's how the market works. If you sell the best phones, a premium price is justified. The company Apple today is ripping of loyal customers and insulting it's intellect.
    Nice try but NO WAY IN HELL are you convincing me to buy a knockoff iPhone that collects all my data and is prone to wiping itself among other bugs.

    ...and I don't support thieves. There's also that.
    monstrositymessagepad2100lostkiwibaconstang
  • Reply 13 of 65
    cnocbuicnocbui Posts: 3,613member
    cnocbui said:
    Who stole iOS, I must have missed that?

    The narrative used to be that Samsung would suffer in the face of Chinese competition to the point they would soon be wiped out, yet they are holding their own and it's Apple who have lost ground to the Chinese upstarts.  The S7 really saved Samsung's bacon.
    Oh how so? As far as I know Samsung hasn't released sales data on the S7, nor have all the Chinese knock-off brands. Research firms pull these numbers out of their arse and then tech sites publish them as they're good click bait to start fanboy wars.
    Well Tim Cook did announce a decline in sales.  It doesn't actually matter whether you, I or anyone else here believes Gartner or not.  As Shakespeare said, 'truth will out'.  Samsung did announce their results a while back and they indicated an increase in revenue.
    edited May 2016
  • Reply 14 of 65
    croprcropr Posts: 914member

    And why is Gartner lumping phones of all price points into one chart? Nevermind - I know the answer. It's so they can make Apple look bad with low market share while conveniently omitting the fact the ASP for the rest of the manufacturers on that list is below $200.
    Because Gartner has always done when reporting smartphone market share, so they remain consistent.  It enables you to detect trends.
    Another study shows that in the top 5 countries in Europe the Android market share grew in Q1 2016 7% and that 2.6% of this growth came from iOS switchers, showing that Apple had a really bad quarter.  
    Perhaps you don't realize it but in the $150 - $250 price range the quality of the smartphones has increased a lot in the last 12 months.  They are no longer the crappy, slow devices you could buy 2, 3 years ago.  The iPhone is still better, but the gap is getting smaller and smaller.  On some aspects these mid range phones are just better than iPhones: speaker quality, dual sim support, FM radio, external SD cards. It is becoming harder for Apple to justify a 3-fold price tag
    edited May 2016 cnocbuicali
  • Reply 15 of 65
    wood1208wood1208 Posts: 1,866member
    You have to understand China/Chinese,their culture and laws. It's hard to innovate and rip benefits of your hard work when someone in China can copy and sell cheap and there is nothing you can do. In order to make China respect IP laws, everyone has to stop importing anything from China whether it is Walmart or F*mart. That will make communist government co-operate better with the rest of world.
    cali
  • Reply 16 of 65
    SnRaSnRa Posts: 65member
    cali said:
    cnocbui said:
    Who stole iOS, I must have missed that?

    The narrative used to be that Samsung would suffer in the face of Chinese competition to the point they would soon be wiped out, yet they are holding their own and it's Apple who have lost ground to the Chinese upstarts.  The S7 really saved Samsung's bacon.
    Durr Hurr who do you think stole iOS? Durr...
    There is plenty of innovation from both camps (clearly), all you're doing is expressing your ignorance to the market outside of Apple... All 85.2% of it.

    Android software and hardware has also had a major influence on iOS, from multitasking to notifications, NFC/mobile payments, voice commands, device size, etc.  
    hjmnlRoger_Fingascnocbuisingularitysirlance99techloverdasanman69
  • Reply 17 of 65
    mj webmj web Posts: 918member
    mj web said:
    Perhaps its time to stop resting on Apple's laurels and make a new iPhone every year instead if every (snooze) two years?
    What evidence is there that people want to buy a new phone every year? People don't buy new cars or furniture or appliances every year. Why does a phone need to look new every year? To me that's just change for change sake. Honestly I think slowing smartphone sales are more about maturing technology to the point where these devices are good enough. They're fast enough and the displays are high quality enough for what most people use them for. Other than cameras and battery life I'm not sure there's a lot of new technology that will make people want to buy a new phone every year. I'm not convinced that VR is going to be a mass market thing. Nothing that requires a big contraption on your face will.
    Good counterpoint. However it only addresses former iPhone users. Apple needs to ramp up fresh models for switchers and virgin adopters, which happens to be a majority of the market.
    cali
  • Reply 18 of 65
    monstrositymonstrosity Posts: 2,199member
    We have been here before folks. iPhone 7 comes out and all will be rosy again. It's just stock manipulation, capitalising on the fact that people are holding out for the new device and that people have short memories !

    Don't dwell on it, use the dip to your advantage :)
    messagepad2100calipatchythepiratelostkiwibaconstang
  • Reply 19 of 65
    designrdesignr Posts: 463member
    hjmnl said:
    What evidence is there that people want to buy a new phone every year? People don't buy new cars or furniture or appliances every year. Why does a phone need to look new every year? To me that's just change for change sake. Honestly I think slowing smartphone sales are more about maturing technology to the point where these devices are good enough. They're fast enough and the displays are high quality enough for what most people use them for. Other than cameras and battery life I'm not sure there's a lot of new technology that will make people want to buy a new phone every year. I'm not convinced that VR is going to be a mass market thing. Nothing that requires a big contraption on your face will.
    Because it's technology. What's coming out today is outdated tomorrow. Two years is just too long in the technology industry. You can always skip a model but it has to be modern to keep playing in the field.
    More than that, even if everyone is not buying a phone every year (most aren't), with a couple of billion people with phones, the buying and upgrade cycles are staggered.

    All that said, I think we may be witnessing "peak iPhone" in the sense that the phone are "good enough" for 90% of customers and the incremental improvements possible are just not all that enticing and exhilarating.
  • Reply 20 of 65
    SnRaSnRa Posts: 65member
    cropr said:
      
    Perhaps you don't realize it but in the $150 - $250 price range the quality of the smartphones has increased a lot in the last 12 months.  
    Definitely, people are too unaware of what the actual competition is.

    For example, number 5 on the list is Xiaomi, they, for the most part, operate only in China, bits of South Asia and more recently India.

    This is a $106 Xiaomi smartphone, the Redmi 3:

    It's all metal, has an IPS display, a mid-range Qualcomm chip with 4G LTE, 2 GB RAM, 16 GB storage, microSD, dual SIM and a 13 MP camera.



    edited May 2016 hjmnlgatorguycnocbui6Sgoldfishtechlover
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