Smartphone sales down for fourth straight quarter

Angela Lang  CNET

Angela Lang CNET

Global smartphone shipments fell for the fourth consecutive quarter in July to September, accelerating to a 6.0 percent year on year decline (1.8% in Q2) according to the latest report from IDC.

Huawei and Xiaomi were the big winners in Q3 2018, according to smartphone shipment figures from Counterpoint Research. In addition, growing markets like India and Indonesia are being changed by the rapid growth of other Chinese brands such as Xiaomi, Oppo and Vivo.

While Chinese players continued their growth trajectory with strong performances in markets outside China.

Huawei has grown 33 per cent year on year (YoY) for smartphone shipments while Samsung shipments are down for the fourth quarter in a row.

Linda Sui, Director at Strategy Analytics, said: "Global smartphone shipments tumbled 8 per cent annually from 393.1 million units in Q3 2017 to 360.0 million in Q3 2018". Huawei beat Apple for sales this quarter, but researchers said that the holiday period could see Apple return to the top of the pile. It holds 13 percent of the total market shares, a 3 percent increase from previous year.

Worldwide shipments of smartphones, still the most dominant of internet-connected devices, declined 6% compared to a year ago, according to the International Data Corporation (IDC). It's got a 20 percent market share and shipped a little more than 72 million units during the third quarter - but that was 13 percent less than the third quarter of 2017. "The brands will further expand outside China as they push into Asia Pacific countries and Europe".

Apple's shipments remained flat but revenue grew 29% thanks to the record high average selling price of $793 per iPhone.

Although emerging markets like India showed double-digit growth, it was not enough to compensate for the volume decline in developed markets.

"The growth in emerging markets is led by Chinese smartphone manufacturers, that are venturing out of China to capture sales", research analyst Shobhit Srivastava said. Like a few of its competitors that continue to climb the smartphone ladder, OPPO is beginning to gain global attention for some of its newer flagship devices that have come with highly marketed launch events.

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