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Apple iPhone 16 sales in China put it back at No 2 in local smartphone market for Q3

by TheAdviserMagazine
12 months ago
in Business
Reading Time: 3 mins read
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Apple iPhone 16 sales in China put it back at No 2 in local smartphone market for Q3
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Strong iPhone 16 sales in China have returned Apple to the No 2 spot in the local smartphone market in the third quarter, after it had fallen out of the top five in the previous three months, according to the latest data from research firm IDC.

iPhone shipments captured 15.6 per cent of the market in the three months ended September, behind only Vivo at 18.6 per cent, according to IDC on Friday. While Apple’s latest handsets helped it perform better than earlier in the year, its market share was down from 16.1 per cent in the same period last year.

Apple’s smartphone sales fell 0.3 per cent year on year, but initial uptake of the iPhone 16 series, which hit the shelves in September, has largely been on par with the previous generation, according to the report.

Do you have questions about the biggest topics and trends from around the world? Get the answers with SCMP Knowledge, our new platform of curated content with explainers, FAQs, analyses and infographics brought to you by our award-winning team.

Huawei Technologies’ shipments surged 42 per cent in the quarter to take 15.3 per cent of the market, just behind Apple. It marked four consecutive quarters of at least double-digit growth, according to IDC. The US-sanctioned company staged a comeback in the premium handset market last year with an advanced processor produced entirely in China that ignited patriotic fervour at home.

People line up outside an Apple store on a rainy day as the new iPhone 16 series smartphones go on sale in Beijing on September 20. Photo: Reuters alt=People line up outside an Apple store on a rainy day as the new iPhone 16 series smartphones go on sale in Beijing on September 20. Photo: Reuters>

In the June quarter, Apple was pushed to No 6 in China by shipments amid fierce competition with local players, putting it behind Vivo, Huawei, Oppo, Honor and Xiaomi, according to IDC data. It was the first time in years the iPhone maker fell so low in one of its most important markets.

China, the world’s largest smartphone market, has seen handset shipments grow 3.2 per cent to 68.8 million units in the third quarter, marking the fourth consecutive quarter of growth, according to IDC.

“A significant wave of device upgrades is propelling the sustained recovery of the Chinese smartphone market,” Arthur Guo, senior research analyst for IDC China, wrote in the report.

Chinese smartphone vendors Vivo, Huawei and Xiaomi all achieved double-digit year-on-year growth in the third quarter. Vivo remained the leader on the back of strong 21.5 per cent shipment growth, according to IDC.

Story Continues

Xiaomi ranked fourth with 14.8 per cent of the market, as shipments grew 12.8 per cent year on year amid a push in both the budget and premium segments.

Honor, the spin-off brand of Huawei, followed closely in fifth place with 14.6 per cent of the market, although its shipments fell 22.5 per cent in the quarter.

Amid an intensifying rivalry with local players, Apple has been offering promotions for the iPhone 16 in China to boost sales. Before its official release, Chinese online retailers including PDD Holdings’ Pinduoduo and Alibaba Group Holding’s Taobao marketplace had already discounted the latest model. Alibaba owns the South China Morning Post.

Apple offered additional price cuts on online platforms this month as China’s Singles’ Day shopping festival kicked off.

Apple CEO Tim Cook visited mainland China this week for the second time this year, where he met with officials from the Ministry of Industry and Information Technology to discuss topics that included the company’s further development in China and cyber and data security.

The regulator’s announcement about the meeting did not provide any information on when Apple’s new artificial intelligence service for iPhones would be made available in the country. The company has marketed its Apple Intelligence feature as one of the primary selling points of the new iPhones.

This article originally appeared in the South China Morning Post (SCMP), the most authoritative voice reporting on China and Asia for more than a century. For more SCMP stories, please explore the SCMP app or visit the SCMP’s Facebook and Twitter pages. Copyright © 2024 South China Morning Post Publishers Ltd. All rights reserved.

Copyright (c) 2024. South China Morning Post Publishers Ltd. All rights reserved.



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