TechInsights: Global smartphone shipments in Q1 2023 will reach 269 million units, a year-on-year decrease of 14%

Sui Qian, senior director of TechInsights , said: " In the first quarter of 2023 , global smartphone shipments fell 14% year-on-year to 269.1 million. This is the seventh consecutive quarter of year-on-year decline in smartphone shipments. In the first quarter of this year, inventory adjustments and geopolitical issues continued to affect the smartphone market. At the same time, unfavorable economic conditions continue to weaken consumer demand for smartphones and other non-essential products. "

Woody Oh, director at TechInsights, added, “We estimate that Samsung shipped 60.5 million smartphones in Q1 2023 , ranking first in the global smartphone market with nearly 23% market share. While the company’s smartphone shipments fell 19% year-over-year, it performed very well in terms of smartphone wholesale prices and operating profitability due to a higher mix of the higher-priced GS23 series. Apple ranked second with 55 million units shipped and captured 20% market share, its highest first-quarter market share since 2013. Apple’s shipments fell 4% year-over-year, but it still performed better than the overall market. Easing supply disruptions, aggressive promotions on older models in multiple markets, and price discounts combined to produce solid results. The iPhone performed well in emerging markets (especially India) this quarter, while performance in the United States, China, and Japan remained weak.”

Wu Yiwen, associate director at TechInsights , added: “Xiaomi shipped 30.5 million smartphones in Q1 2023 , ranking third with a global market share of 11% , down from 12% a year ago. Xiaomi lagged behind other major Chinese brands due to inventory adjustments, with shipments falling 22% year-on-year. Due to inventory adjustments and regulatory headwinds, Xiaomi's ranking in the Indian market fell to fourth place (behind Samsung, vivo and OPPO ( OnePlus ) ). OPPO (OnePlus) ranked fourth, accounting for 10% of the global smartphone market share. Vivo ranked fifth in Q1 2023 with 8% of the global smartphone market share. As 4G and 5G competition in China and other markets intensified, Vivo's smartphone shipments fell 16% year-on-year and lost ground in most markets. OPPO (OnePlus) shipments fell 7% year-on-year in this quarter , but outperformed the overall market, mainly driven by the OnePlus brand, which achieved strong growth in the Chinese market driven by a streamlined brand strategy and a refreshed product portfolio. The two brands together also topped the Chinese smartphone market in Q1 2023. ”

Neil Mawston , Executive Director of TechInsights, added: “Beyond the top five, global competition among other major smartphone brands was fierce in Q1 2023. Transsion, Honor, Lenovo - Motorola, realme and Huawei ranked in the top ten, but their performance this quarter was mixed. Transsion maintained its sixth position, achieving healthy growth in Central and Eastern Europe and Central and Latin America, but overall smartphone shipments experienced a double-digit annual decline for three consecutive quarters. Honor’s impressively strong development also encountered a deceleration. It experienced an annual decline due to weak performance in the Chinese market in Q1 2023 , while overseas shipments began to grow in recent months. Lenovo - Motorola surpassed realme with a 4% market share this quarter, jumping to eighth place. However, it is still a US company and it has seen a sharp decline in the US market due to a slow product release cycle. Realme fell to ninth place, with an annual decline of double digits, losing market share in most regions. Huawei remained in the top ten, and its smartphone shipments fell 13% year-on-year this quarter; in addition, considering the rumored extension of the US ban on 4G , The company’s outlook remains uncertain due to sanctions on WiFi and AI-related chipsets and technologies. Eight of the top ten brands are Chinese. However, all these Chinese brands saw a combined decline of 16% in shipments, lagging behind the overall market. But it is an improvement compared to the previous quarter, suggesting that the market may recover in the second half of this year.”

Sui Qian, senior director at TechInsights, added: “We forecast that global smartphone shipments will continue to decline, falling 3% year-on-year in 2023. Geopolitical issues, economic downturn, energy shortages and price increases, and exchange rate fluctuations will continue to weaken consumer demand in the first half of 2023. A modest rebound is expected in the third quarter, with double-digit growth in the Christmas holiday season. Samsung and Apple will continue to maintain their top two positions. Chinese brands need to stabilize their performance in the Chinese market and explore new growth engines to reverse the downward trend. ”

Global smartphone shipments and market share in Q1 2023

Note: Figures are rounded
Source: TechInsights, Smartphone Strategies