The smartphone market is still in a sorry shape, according to the latest report from analytics firm TrendForce. Sales fell 6.6 percent to 272 million units during the second quarter of 2023, making it the worst quarter in ten years.
It turns out that the relaxation of Covid restrictions in China hasn’t done much for a demand rebound and the Indian market has not become the savior it was expected to turn into. Consumers are also more cautious in their spending habits due to the gloomy economic conditions.
Xiaomi, Oppo, and Transsion saw growth in Q2 2023
Though Apple typically weathers these storms better than Android phone makers, the company saw a 21.2 percent decline from the previous quarter and shipped 42 million phones in Q2. That said, this quarter is usually the weakest for the company in terms of production.
TrendForce has revealed that Apple and Samsung have similar production targets for the year and says that if the forthcoming iPhone 15 manages to do better than market expectations, Apple could emerge as the number one smartphone seller in terms of sales, which is something that has never happened before.
It doesn’t help that the boost that Samsung received from the Galaxy S23 series is showing signs of deceleration and that its new releases, the foldable Galaxy Z Fold 5 and Flip 5, are highly unlikely to drive the same amount of sales as conventional phones.
TrendForce’s estimates roughly matches predictions made by intelligence company IDC which said that even though the overall market is going to decline by 4.7 percent in 2023, iOS shipments are expected to grow by 1.1 percent. IDC also said that even though replacement cycles have lengthened, consumers are willing to pay more for devices, which could work to Apple’s advantage as its new Pro models are rumored to be more expensive than the current generation.
