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According to Counterpoint, the large and well-known smartphone manufacturers had to face sharp drops in demand in almost all areas. As in the previous year, Samsung was the market leader in the first quarter of this year. However, sales of mobile phones by the South Korean electronics group fell from 72 to around 59 million. Huawei also had to drop feathers. Chinese smartphone sales fell from 59.1 million to 49 million. Huawei now sells more than half of the devices in its local market in China. The reason is the trade dispute between China and the United States, which particularly affects Huawei.
The first quarter of the year was anything but optimistic for Oppo (-3.4 million to 22.3 million) and Vivo (-2.3 million to 21.6 million). Vivo, however, was able to at least claim to have pushed the powerful opponent Samsung in second place in terms of smartphone deliveries in India.
Apple also loses, but wins elsewhere
Apple had to endure a similar order of magnitude. Counterpoint reports that 40 million smartphones were sold for the American group between January and March. Apple hasn’t had any official figures on this for some time. Quarterly figures released Friday night only show that Apple had $ 58.31 billion in first-quarter sales, and iPhone sales alone contributed $ 28.96 billion to total sales.
That was about $ 2 billion less in iPhone sales than in the first quarter of 2019. At the same time, however, businesses with wearable devices like the Apple Watch and accessories performed equally well ($ 1.1 billion). million to $ 6.28 billion) as with Internet Services ($ + 1.9 billion to $ 13.3 billion). Apple is making more and more money with subscription models for additional cloud, music and video storage services or with app sales.
Xiaomi and Realme are the big winners
Looking at the global smartphone market, there are other losers: For example, LG sold just 5 million smartphones in the first quarter, after 6.9 million units a year earlier, Lenovo group sales went from 9.5 to 6, 0 million smartphones, but there are also two real winners. Contrary to the general industry trend, Xiaomi and Oppo’s sister Realme were even able to grow in the first quarter, according to Counterpoint calculations.
Therefore, Xiaomi sold 29.7 million smartphones in the first three months of the year. That was 1.9 million units more than a year ago. The growth was fueled, among other things, by strong business in India, where Xiaomi has a whopping 30 percent market share. Realme increased the number of smartphones sold from 2.8 to 7.2 million. The China manufacturer, which was recently launched officially in Germany and is part of BBK Electronics and is therefore a sister brand to OnePlus, was also more successful. In the third quarter of 2019 there were already 10.2 million smartphone deliveries on Realme’s balance sheets. In the fourth quarter of 2019, there were 7.8 million.
Counterpoint Analysis latest smartphone update pic.twitter.com/DiF9gMTCuD
– Johnny Zhang (@ JohnnyZ25070758) May 1, 2020
Prospects for 2020 remain cloudy: everything should improve from 2021
It remains to be seen how smartphone sales from all major manufacturers will develop in the current second quarter. Because then the effects of the Corona crisis will only really prevail. For the full year 2020, industry experts expect sales to decline about 15 percent compared to 2019. That would correspond to 1.3 billion cell phones sold after nearly 1.55 billion in 2019. Market researchers don’t expect a moderate recovery until the second half of 2020, before growth of two to three percent is expected in 2021 and 2022, respectively.
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