The smartphone market is facing challenging times, as reported by the analytics firm TrendForce. During the second quarter of 2023, sales declined by 6.6 percent, reaching the lowest point in the past ten years. Unfortunately, the relaxation of Covid restrictions in China did not bring about the desired demand rebound, and the Indian market did not perform as anticipated. Additionally, consumers are being more cautious in their spending habits due to the gloomy economic conditions.
While Android phone manufacturers typically struggle more during such situations, Apple also experienced a decline of 21.2 percent from the previous quarter, shipping 42 million phones in Q2. However, it’s worth noting that this quarter is often the weakest for Apple in terms of production.
TrendForce’s report highlights that Apple and Samsung have set similar production targets for the year. If the upcoming iPhone 15 manages to surpass market expectations, Apple could potentially become the leading smartphone seller in terms of sales, which would be a first for the company.
Samsung, on the other hand, is currently facing the deceleration of the boost it received from the Galaxy S23 series. Additionally, the new releases, the foldable Galaxy Z Fold 5 and Flip 5, are unlikely to generate the same level of sales as conventional phones.
TrendForce’s estimates align with the predictions made by intelligence company IDC, which foresees a 4.7 percent decline in the overall market for 2023. However, iOS shipments are expected to grow by 1.1 percent. IDC also suggests that despite longer replacement cycles, consumers are willing to invest more in devices, potentially benefiting Apple, particularly with the rumored higher prices of its new Pro models.
– TrendForce: Report on Q2 2023 smartphone market performance
– IDC: Predictions for the smartphone market in 2023