The massive image: The worldwide smartphone market grew by simply 0.2 p.c within the first quarter of 2025. Shipments reached 296.9 million items in the course of the first three months of the yr and whereas progress is progress, Q1 2025 turned the third consecutive quarter through which progress slowed.
Market analysis agency Canalys cited a number of causes for the continued sluggishness within the smartphone business. The newest substitute cycle has come to an finish and with uncertainty within the world financial panorama, a number of distributors are being extra cognizant with regard to stock ranges.
Samsung narrowly edged out Apple for the primary spot with 60.5 million items shipped in Q1, good for a 20 p.c market share however only one p.c progress in comparison with the identical interval a yr earlier. Apple shipped 55 million iPhones, capturing 19 p.c of the market. Robust progress within the US and Asia Pacific markets helped Apple develop its market share by 13 p.c yr over yr.
Xiaomi, Vivo, and Oppo rounded out the highest 5 with shipments of 41.8 million, 22.9 million, and 22.7 million items, respectively. All others mixed shipped 94 million items for a 32 p.c share.
Canalys analysis supervisor Le Xuan highlighted sturdy progress within the US, which was primarily led by Apple. Cupertino was among the many few that proactively constructed up stock forward of anticipated Trump tariffs, Xuan stated, who additional famous that the corporate additionally elevated iPhone manufacturing in India to scale back its tariff danger.
Talking of tariffs, Canalys expects them to disproportionately influence the price of entry-level smartphones. In different phrases, the marketplace for low cost smartphones will dry up as the common promoting value will increase.
We’re already seeing indicators of this with different electronics, and never simply with entry-level gadgets. Microsoft not too long ago stunned everybody with an sudden Xbox value hike that sees the console go up $80 to $130 relying on the mannequin. Video games are additionally getting dearer, with some upcoming premium titles now to set to retail for $80 apiece.
Picture credit score: Jonas Leupe
