Apple's Q3 smartphone sales decline amid strong iPhone 16 demand in China
- The Chinese smartphone market grew 3.2% year-on-year in Q3 2024, reaching 68.8 million units.
- Apple's sales slightly declined, yet the company regained its No. 2 position in the market, driven by strong demand for the iPhone 16.
- Despite strong competition, Apple's pricing strategies may help maintain its market presence in a growing landscape.
In Q3 2024, China experienced a 3.2% growth in its smartphone market with total shipments reaching 68.8 million units. Apple Inc. experienced a slight decline of 0.3% in smartphone sales year-over-year but managed to regain its No. 2 position, holding a 15.6% market share behind Vivo. This position is attributed to steady demand for the newly launched iPhone 16 series and competitive pricing strategies, including pre-release discounts and price reductions for the holiday season. Notably, Huawei saw a substantial growth of 42% in shipments, securing 15.3% of the market share, bolstered by nationalistic support for its locally produced products amid international sanctions. Xiaomi and Honor also showed notable performances—Xiaomi gaining 14.8% market share thanks to its diverse product range, while Honor declined by 22.5%. Tim Cook's recent engagement with Chinese officials indicates Apple's strategic efforts to strengthen its ties and enhance its market presence in the region. Industry experts predict that iPhone sales will play a critical role in Apple's revenue in the upcoming years, underscoring the importance of Apple's successful product positioning and promotional strategies in fostering growth in one of the world's largest smartphone markets.