Samsung continues to lead the smartphone market despite an 11 percent year-on-year decline in global shipments in the first quarter of 2022, a report said. The South Korean company introduced its Galaxy S22 series in the quarter, which apparently helped it increase its market share. After Samsung, Apple retained its second position in the global market. Both Samsung and Apple expanded their market share in the quarter. However, the three largest Chinese players — Xiaomi, Oppo and Vivo — saw their shares decline.
Market research firm Canalys said in its report that global smartphone sales declined 11 percent year-on-year, due to unfavorable economic conditions caused by the COVID-19 pandemic and weak seasonal demand in the first quarter.
However, the dip did not result in an unfavorable environment for Samsung, as the company managed to grow its share from 22 percent in the same quarter of 2021 to 24 percent in Q1 2022, according to Canalys. The company’s share also rose five percent from Q4 2021, when it stood at 19 percent. It introduced models such as the Galaxy S22, Galaxy S22+ and Galaxy S22 Ultra during the quarter. Notably, the Galaxy S22 Ultra replaced the Galaxy Note series by offering an integrated S Pen stylus and a top-notch combination of hardware and software.
Samsung wasn’t the only vendor in the race to see growth despite the overall decline in shipments. Apple also increased its market share to 18 percent in the first quarter from 15 percent in the same quarter last year, according to Canalys.
The Cupertino company saw growing demand for its iPhone 13 series in the quarter, the company said.
“While the iPhone 13 series continues to sustain consumer demand, the new iPhone SE (2022) launched in March will be a key mid-range volume driver for Apple,” said Canalys analyst Sanyam Chaurasia. “For a similar price to its predecessor, it offers an upgraded chipset and improved battery performance, and adds the 5G connectivity that operator channels demand.”
Unlike Samsung and Apple, Chinese smartphone makers in the top five vendors worldwide failed to grow their market in the first quarter. Canalys’ report shows that Xiaomi, Oppo and Vivo, on the other hand, saw their shares decline.
Xiaomi remained at the third position, although its market share fell from 14 percent in the same quarter of 2021 to 13 percent in the first quarter of 2022. Similarly, Oppo came in fourth, with its share falling from 11 percent in the same quarter last year to 10 percent. Oppo’s performance includes the shipments of OnePlus phones in the market globally.
Vivo, Oppo’s sibling and a subsidiary of China’s BBK Electronics, also saw its share fall by two percent, from 10 percent in the first quarter of 2021 to eight percent in the latest quarter, data from Canalys showed.
Global market share of smartphone vendors
| Supplier | Market share Q1 2021 | Market share Q1 2022 |
|---|---|---|
| Samsung | 22 percent | 24 percent |
| Apple | 15 percent | 18 percent |
| Xiaomi | 14 percent | 13 percent |
| Opposite | 11 percent | 10 percent |
| Living | 10 percent | 8 percent |
| Others | 28 percent | 27 percent |
“While Chinese suppliers continue to face supply constraints at the low end of the market, their global expansion is being hampered by a slowdown in their home market,” Chaurasia said.
The ongoing conflict between Russia and Ukraine, the new lockdowns in China and the threat of inflation are among the few major obstacles for smartphone manufacturers worldwide. The consumer demand in the global market is also not favorable to bring about significant growth.
“Suppliers must equip themselves to respond quickly to new opportunities and risks, while remaining focused on their long-term strategic plans,” said Nicole Peng, VP Mobility at Canalys. “The good news is that the painful component shortages may improve sooner than expected, which will certainly help to alleviate cost pressures.”
The new troubles for smartphone vendors come just months after the market began to recover from the impact of COVID-19, having seen seven percent year-on-year growth in shipments in 2021 to 1.35 billion units, an earlier report from Canalys showed.
That being said, manufacturers are busy developing their new models to woo customers and make the market favorable for them in the coming months. Samsung, Google and Xiaomi are among the companies working on their new premium and mid-range models that could arrive as early as this quarter.
