**Global:** The smartphone market grew by 1% in Q1 2025 with Samsung leading at 20% share. Apple rose to 18%, while global economic challenges and trade tensions influenced inventory strategies and consumer demand.
The global smartphone market experienced a modest growth of 1% year on year in the first quarter of 2025, according to the latest research from Canalys, a division now integrated within Omdia. This growth occurred despite ongoing macroeconomic challenges, cautious consumer sentiment, and delays in the digestion of inventory by sales channels.
Samsung emerged as the leading vendor in the global smartphone market, holding a 20% share. Apple secured the second position with an 18% market share, showing a slight increase compared to its 16% share in the same period last year. Xiaomi maintained its third-place position with a 14% market share, unchanged from the previous year. Vivo and OPPO followed in fourth and fifth places respectively, each holding an 8% share of the market. OPPO’s figures also include OnePlus shipments. Together, other manufacturers made up 32% of the market, a reduction from 34% in the previous year.
Amber Liu, Research Manager at Canalys, commented on the market dynamics: “The overall environment proved to be more volatile than anticipated in Q1 2025, while the global market continued its recovery. Following a strong finish to 2024, vendors pushed high inventory volumes into channels to gain share. But slower-than-expected sell-through extended inventory cycles, dampening sell-in momentum in early 2025. Unlike 2024’s recovery, which was driven by a post-pandemic upgrade cycle and mass-market affordability, this year’s rebound is proving more fragile.”
Sanyam Chaurasia, Senior Analyst at Canalys, added insights regarding consumer behaviour and market strategies: “Cautious consumer sentiment driven by global macroeconomic challenges muted the typical seasonal uplift in Q1. Even festive periods in key markets, such as Ramadan, delivered softer demand than expected. In response to a more gradual recovery in volume, vendors are prioritising profitability while remaining active and flexible with market investments. Tactics include dynamic channel incentive schemes to encourage sell-in, collaborations with distributors to expand financing in emerging markets and agile channel pricing strategies to strike a balance between overall profitability and price competitiveness.”
Liu also highlighted the impact of escalating global trade tensions on the industry. “In the US, vendors such as Apple, Samsung and Lenovo are already grappling with weaker domestic demand and the looming threat of increased operational costs due to impending tariffs. In response, Apple front-loaded shipments in early April, pulling forward Q2 inventory to mitigate potential cost hikes. Globally, while the full scope and timing of the new tariffs remain uncertain, vendors are bracing for higher component prices and softer export demand in affected markets. To reduce exposure, vendors and supply chain partners are accelerating diversification strategies, shifting production bases, reassessing sourcing models and optimising logistics. These dynamics are expected to disrupt profitability and extend planning cycles throughout the worldwide smartphone industry in 2025.”
The Canalys preliminary data highlights the sustained dominance of Samsung and the growth of Apple in the smartphone market, while the landscape remains complex due to economic pressures and geopolitical factors affecting supply chains and costs. Vendors continue to adapt their approaches to inventory management, pricing, and market investments to navigate the volatility in global demand and trade conditions.
Source: Noah Wire Services
Subscribe to Industry Updates
