Global smartphone shipments surpass forecast growth

Global smartphone shipments surpass forecast growth

According to data released by the International Data Corporation (IDC), global smartphone shipments have continued their rebound from 2020 with shipment volumes growing 13.2% year over year, slightly surpassing forecast growth of of 12.5%.

Smartphone vendors shipped a total of 313.2 million devices during the second quarter of 2021 and as reflected in its Worldwide Quarterly Mobile Phone Tracker, the IDC says this further proves this market is headed back toward sustained growth.

Every region contributed to the overall growth except for China, where the lack of flagship product launches, weaker than expected demand, and the further decline of the Huawei brand pulled the market down 10% compared to the second quarter of 2020, says the IDC.

Ryan Reith, program vice president with IDC’s Mobile and Consumer Device Trackers said, “The smartphone market has been fortunate enough to not experience the severe supply constraints as the automotive, PC, and display industries.”

“The pandemic is far from over, yet consumers around the world continue to show the need for mobile devices and a willingness to spend in these categories. Shipments of 5G devices are on the rise, especially as price points go down, but we continue to believe that consumers are not yet buying specifically for 5G. They are buying because they need a replacement device, and in some cases a first-time smartphone,” added Reith.

The IDC says with Huawei shipments continuing to decline and the recent announcement that LG is exiting the smartphone business, market share is up for grabs. This resulted in some significant shifts in the market positions of the remaining companies.

Most notably, Xiaomi moved into the second position for the first time in 2Q21, moving Apple to third. In the markets where Huawei and LG are strongest (China and the USA, respectively), companies face different chances of gaining that share.

In the United States, Motorola, TCL, and OnePlus experienced year-over-year gains beyond what they have seen in recent years due to LG’s departure. In China, it’s the usual suspects – Xiaomi, OPPO, Vivo, and Apple – that continue to gain from Huawei’s rapid decline.

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