![Worldwide Smartphone Market Shipments Grew 6.5% in Q2 2024, Samsung Maintains Top Position Worldwide Smartphone Market Shipments Grew 6.5% in Q2 2024, Samsung Maintains Top Position](https://tkcdn.tekedia.com/wp-content/uploads/2023/09/15093332/iphone-768x507.jpg)
According to preliminary data from the International Data Corporation (IDC) Worldwide Quarterly Mobile Phone Tracker, global smartphone shipments grew 6.5% year-over-year to 285.4 million units in the second quarter (Q2) of 2024.
This positive trend marked the fourth consecutive quarter of growth, building momentum towards an anticipated recovery this year. However, demand remains inconsistent across various markets.
The preliminary market results revealed that South Korean multinational manufacturing conglomerate Samsung, captured the top position in Q2 2024, with an 18.9% share of shipments, thanks to a strategic focus on its flagships and a strong AI strategy. Apple followed closely sitting in second place with a 15.8% share with improved performance in China and other key regions.
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Chinese designer Xiaomi occupied the third place with a 14.8% share, while Vivo and OPPO tied for the fourth position with 9.1% and 9.0% shares respectively. Xiaomi and Vivo both recorded double-digit growth with strong performances in engaging markets and China, while OPPO’s 1.8% growth was due to a successful ongoing expansion outside China.
Commenting on the report, Nabila Popal, Senior research director with IDC’s Worldwide Tracker team said that there is increasing competition amongst the smartphone leaders and a polarization of price bands.
In her words,
“While recovery is well underway with the top 5 companies all making year-over-year gains, we are seeing increasing competition amongst the leaders and polarization of price bands. As Apple and Samsung both continue to push the top of the market and benefit the most from the ongoing premiumization trend, many leading Chinese OEMs are increasing shipments in the low end in an attempt to capture volume share amidst weak demand.
“As a result, the share of mid-range devices is challenged. Still, there is lots of excitement in the smartphone market today thanks to higher average selling prices (ASPs) and the buzz created by Gen Al smartphones, which are expected to grow faster than any mobile innovation we have seen to date and forecast to capture 19% of the market with 234 million shipments this year.”
As the competition intensifies, IDC expects a very positive and interesting second half of the year with a tight race among the leading OEMS.
“The growth in Q2 2024 continued to provide some relief to the OEMs, though it’s partly supported by a low comparison base and the overall recovery is still at a soft pace,” said Will Wong, senior research manager for Client Devices at IDC Asia/Pacific.
“Some OEMs took a less aggressive move in 2Q24 amid the BOM costs pressure, which prompted the companies to refine the product specs or pricing to ensure profitability. Nevertheless, the the second quarter is more like a prelude before more Gen Al smartphones are launched in the second half of the year, which will potentially be the next growth driver after 5G and foldables”, he added.
It is worth noting that major brands like Samsung and Apple are seeing significant growth and will continue to grow primarily due to their focus on premium models and advancements in AI technology. The introduction of Gen AI smartphones is poised to be a significant growth driver in the coming months.
In the broader market context, the demand for AI-driven smart devices is rising, driven by consumer interest in seamless experiences. Samsung and Apple’s ability to innovate and lead in these areas positions them well to capitalize on these trends.