Samsung Reclaims the Top Spot as Smartphone Market Performs Better Than Expected with 353.6 Million Device Shipments in 3Q20, According to IDC

FRAMINGHAM, Mass. — (BUSINESS WIRE) — October 29, 2020 — The worldwide smartphone market showed signs of improvement in the third quarter of 2020 (3Q20) with shipments declining just 1.3% year over year, according to preliminary data from the International Data Corporation ( IDC) Worldwide Quarterly Mobile Phone Tracker. In total, 353.6 million smartphones were shipped during 3Q20 and while the market declined, the results were stronger than IDC's previous forecast of a 9% year-over-year decline. This is largely attributed to the re-opening of economies around the globe as COVID-19 restrictions were gradually relaxed.

An important trend on the road to market recovery is a faster than expected rebound in some key emerging markets. India, which is the second largest market globally, witnessed very strong volumes during the quarter despite further concerns around the COVID pandemic. Other emerging markets, such as Brazil, Indonesia, and Russia, which rank fourth, fifth, and sixth in the world, also experienced strong growth.

"Although there was an element of pent-up demand that fueled market growth, it was mainly the array of heavy promotions and discounts that accelerated growth in these markets," said Nabila Popal, research director with IDC's Worldwide Mobile Device Trackers. "In India, distance learning has actually boosted the demand for low-end smartphones as they are a more affordable option compared to tablets. The increased low-end demand only further increases competition and adds pressure to the vendors' bottom line."

Larger, more developed markets like China, Western Europe, and North America all witnessed the largest declines in 3Q20. Given these are the largest markets for Apple, the month delay in the iPhone 12 launch contributed to the decline. However, across many of these markets 5G promotions are starting to heat up and a full array of products is quickly becoming available to consumers at all price points.

"While some of the topline numbers may not seem pretty, we are seeing a lot of improvement in the smartphone market both in terms of supply chains and consumer demand," said Ryan Reith, program vice president with IDC's Worldwide Mobile Device Trackers. "In the large developed markets, it is very clear that 5G will be positioned to most consumers as their next phone regardless of which brand or price point they are focused on. Marketing has ramped up significantly. Products are widely available. Promotions are happening. And it's clear that the top sales initiative in these markets is to push 5G. Having said this, we still believe consumer demand for 5G is minimal at best, which only adds to the price pressure on channels and OEMs."

Smartphone Company Highlights

Samsung reclaimed the top position in 3Q20 with a market share of 22.7% after shipping 80.4 million smartphones, up 2.9% year over year. In India, the largest market for Samsung and accounting for 15% of total volume, the brand significantly improved its position with close to 40% growth year over year thanks to its strong performance in the under $250 price segment and the online channel where its M series models did quite well. In the U.S., Samsung's second largest market, momentum was strong for the A series with good performances from the Note 20 and Note 20 Ultra as well, which contributed to almost 20% of total volume in 3Q20.

Huawei lost the top spot and settled into the second position in 3Q20 with 51.9 million smartphones shipped and 14.7% share. The vendor suffered a large drop – down 22% year over year – with continued declines in international markets and a drop of more than 15% in China. The company continues to face challenges due to the ever increasing impact of the U.S. sanctions, which are taking a toll on its performance even in China as the brand is trying to pace out its shipments over a longer period.

Xiaomi shipped 46.5 million devices to grab the number 3 position globally, beating Apple for the first time with 13.1% share and 42.0% growth. This is due to strong gains in India and a continued strong presence in China, which accounted for 53% of the company's volume in 3Q20. In India, Xiaomi's production capacity recovered to nearly 85% of its pre-pandemic level, which helped it cater to strong demand. Xiaomi's low-end portfolio, particularly the Redmi 9 Series, did well in both India and China. Xiaomi also launched the mid-range Redmi K30 Ultra and high-end MI 10 Ultra in China, which further captured consumers' attention.

Apple shipped 41.6 million iPhones in 3Q20, down 10.6% year over year, which placed the company in fourth for the first time with 11.8% share. This drop was expected and is mainly due to the delay in the launch of the new iPhone 12 series, which is usually in the third quarter. Regardless, the iPhone 11 series did exceptionally well, contributing the majority of Apple's volume, followed by the SE device. Looking ahead, we expect Apple to grow in coming quarters with strong early demand for iPhone 12 paired with robust trade-in offers across major carriers, especially in the U.S.

vivo returned to the Top 5 this quarter with 31.5 million units shipped for 4.2% year-over-year growth and 8.9% market share. Although the company is trying to grow its presence in other markets, India delivered massive growth of nearly 30% year over year in its low-end models under $200. In China, the brand enhanced the market positions of its S, iQOO, and X series phones that helped continue its strong presence there.

Top 5 Smartphone Companies, Worldwide Shipments, Market Share, and Year-Over-Year Growth, Q3 2020 (shipments in millions of units)

Company

3Q20 Shipment Volumes

3Q20 Market Share

3Q19 Shipment Volumes

3Q19 Market Share

Year-Over-Year Change

Samsung

80.4

22.7

%

78.2

21.8

%

2.9

%

Huawei

51.9

14.7

%

66.6

18.6

%

-22.0

%

Xiaomi

46.5

13.1

%

32.7

9.1

%

42.0

%

Apple

41.6

11.8

%

46.6

13.0

%

-10.6

%

vivo

31.5

8.9

%

30.2

8.4

%

4.2

%

Others

101.7

28.8

%

104.2

29.1

%

-2.4

%

Total

353.6

100.0

%

358.5

100.0

%

-1.3

%

Source: IDC Quarterly Mobile Phone Tracker, Oct 29 th , 2020


1 | 2  Next Page »



Review Article Be the first to review this article
Aldec


Featured Video
Editorial
More Editorial  
Latest Blog Posts
Modesto (Mo) CasasGlobal Business in EDA
by Modesto (Mo) Casas
Focus a Global Reseller Channel on Your Product
Anupam BakshiAgnisys Automation Review
by Anupam Bakshi
Functional Safety and Security in Embedded Systems
Bob Smith, Executive DirectorBridging the Frontier
by Bob Smith, Executive Director
Phil Kaufman Award Goes on Hiatus for 2020
Colin WallsEmbedded Software
by Colin Walls
Why develop embedded software bottom up?
Jobs
Senior Application Engineer Formal Verification for EDA Careers at California or Austin, California
Senior Analog IC Design Engineer for Marvell Semiconductor at Santa Clara, California
ASIC Engineer for Amazon at seattle, Washington
Senior Java Developer/Architect for EDA Careers at Varies, North Carolina
ASIC Design Integration Engineer for Apple Inc at Cupertino, California
Wireless ASIC Design Engineer for Apple Inc at Cupertino, California
Upcoming Events
RISC-V Summit 2020. at United States - Dec 7 - 10, 2020
SEMICON Japan 2020 Goes Virtual at Japan - Dec 11 - 18, 2020
virtual DATE 2021 at France - Feb 1 - 5, 2021
IPC APEX EXPO 2021 at San Diego Convention Center san diego - Mar 6 - 11, 2021
DownStream: Solutions for Post Processing PCB Designs
Verific: SystemVerilog & VHDL Parsers
TrueCircuits:



© 2020 Internet Business Systems, Inc.
670 Aberdeen Way, Milpitas, CA 95035
+1 (408) 882-6554 — Contact Us, or visit our other sites:
AECCafe - Architectural Design and Engineering TechJobsCafe - Technical Jobs and Resumes GISCafe - Geographical Information Services  MCADCafe - Mechanical Design and Engineering ShareCG - Share Computer Graphic (CG) Animation, 3D Art and 3D Models
  Privacy PolicyAdvertise