Samsung remained the top smartphone manufacturer during the first quarter
Samsung and Apple outperformed the competition during the first quarter of 2022
The U.S. based company sold 56.5 million iPhone units from January through March which resulted in an 18% slice of the worldwide smartphone pie for Apple. Unlike Samsung, Apple was able to score a 2.2% annual gain in shipments making the company the only one to show year-over-year growth in smartphone shipments during the first three months of the year.
Samsung was the leading smartphone manufacturer worldwide during the first quarter
IDC’s research director Nabila Popal blames the current struggle on issues in the supply chain for important smartphone-making components. Consumer demand, she says, has been hurt by economic question marks and global inflation which have reduced demand for handsets. She says, “Although some decline was expected in Q1, due to the ongoing supply and logistical challenges and a difficult year-over-year comparison, things seemed to have taken a turn for the worse.”
IDC says that consumers are concerned about rising inflation and economic instability reducing demand for phones
She adds, “Consumer sentiment across all regions, and especially China, is broadly negative with heavy concerns around inflation and economic instability that have dampened consumer spending. This is now coupled with the rising costs of components and transportation and the recent lockdowns in Shanghai, which are exacerbating an already difficult situation. On top of all this is the Russian invasion of Ukraine, which immediately impacted that region and continues on an unknown trajectory. Given all these uncertainties, most OEMs are adopting a more conservative growth strategy for 2022.”
Ryan Reith, Program Vice President, Worldwide Mobile Device Trackers for IDC, says that the drop in demand is temporary and once the economy stabilizes, demand for smartphones will go back up. He notes, “It goes without saying that the world continues to face numerous challenges, whether it be geopolitical, pandemic related, or macroeconomic. Almost everything that’s happened in recent months has been a headwind on the smartphone market, and realistically many other technology segments.”