The global smartphone industry demonstrated remarkable resilience in 2024, achieving a 7% growth and reaching 1.22 billion units shipped, marking a significant recovery after two consecutive years of decline. Apple maintained its market leadership position for the second consecutive year, though facing some challenges.
Apple’s Performance and iPhone Success
Despite a slight 1% decline in overall shipments to 225.9 million units, Apple successfully defended its top position in the global smartphone market. The iPhone 16 series, particularly its Pro models, showed good performance with the 16 Pro and Pro Max shipments exceeding their predecessors by 11%, reaching over 55 million units. This success came despite challenges in the Mainland China market, balanced by stable performance in North America and Europe.
Market Dynamics and Competition
Samsung followed Apple in second place with a 1% decline and 222.9 million units shipped. The market saw significant movements from other players, with Xiaomi maintaining third position and showing 15% growth to 168.6 million units. TRANSSION also made history by claiming fourth place for the first time, while OPPO (including OnePlus) completed the top five with 3% growth.
Challenges and Outlook for 2025
Industry analysts at Canalys predict a challenging 2025 for smartphone manufacturers. Key concerns include:
- Slowing growth in emerging markets approaching saturation
- Economic fluctuations and potential US tariffs
- Compliance requirements adding complexity to market dynamics
- Need for balanced inventory management and long-term investments
However, opportunities exist through:
- Rising premiumization trends
- Mainland China’s subsidy scheme
- Evolution of financing models
Success in 2025 will depend on vendors’ ability to balance short-term performance with strategic long-term planning while maintaining profitability across different market segments. The industry’s future leaders will be determined by their capacity to navigate these challenges while capitalizing on emerging opportunities.
The smartphone market’s recovery in 2024 sets a positive precedent, but manufacturers must prepare for a more complex and challenging landscape in 2025.
Emman has been writing technical and feature articles since 2010. Prior to this, he became one of the instructors at Asia Pacific College in 2008, and eventually landed a job as Business Analyst and Technical Writer at Integrated Open Source Solutions for almost 3 years.
