In the first quarter of 2024, Apple's smartphone shipments in China fell by 19%, marking its worst performance since 2020. Apple's market share dropped to 15.7% from 19.7% the previous year, as reported by Counterpoint. This decline led Apple to slide to third place behind Vivo and nearly equal to Huawei, whose market share surged to 15.5% from 9.3% due to strong sales growth of 70%.
Huawei has significantly impacted Apple's position in the premium smartphone segment with the release of new high-end models such as the Mate 60 and Pura 70 series. These launches are seen as a major recovery for Huawei, challenging U.S. sanctions with the inclusion of an advanced, domestically produced chip.
Despite the competition, Apple is looking to regain its footing in China with new initiatives, including new color options for iPhones and aggressive sales tactics. The company remains optimistic about improving sales trends going forward.
Globally, Apple also faced challenges, with a nearly 10% drop in shipments during the same quarter, losing the top spot to Samsung. Financially, Apple's stock has declined by approximately 14% this year, reflecting its recent struggles in the market.
The overall smartphone market in China grew by 1.5%, marking the second consecutive quarter of growth.
FAQs
Q1. Why did Apple's smartphone sales drop in China?
Apple's sales dropped 19% because Huawei released new premium phones that were very popular. This strong competition made it tough for Apple.
Q2. What happened to Apple's market share in China?
Apple's market share in China fell from 19.7% to 15.7%. Huawei's new phone launches helped them catch up to Apple.
Q3. What is Apple doing to improve sales in China?
Apple plans to introduce new iPhone colors and has been running aggressive sales campaigns to attract more customers.
Q4. How is the overall smartphone market performing in China?
The smartphone market in China grew by 1.5% in the first quarter, continuing a trend of positive growth.
Reference
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