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Apple has shipped 10.6 percent fewer iPhones year-on-year in the third quarter of 2020, meaning that it has been overtaken by Xiaomi for the first time, according to new data shared by IDC.

Apple_iphone_11-rosette-family-lineup.jpg


The report details how Apple is now ranked as the fourth-largest smartphone manufacturer by market share. This is the first time that Apple has ranked fourth, with Xiaomi, Huawei, and Samsung exceeding Apple's 11.8 percent share.

In total, Apple is believed to have shipped 41.2 million devices in the third quarter, which is five million less than the same time last year.

The drop was expected on the back of the delay in launching the iPhone 12 lineup, which usually appears in the third quarter. Irrespective of the belated arrival of the iPhone 12, the iPhone 11 and iPhone SE contributed to the majority of Apple's volume and performed "exceptionally well."

Going forwards, IDC expects Apple to grow in coming quarters due to strong early demand for the iPhone 12 and solid trade-in offers from major carriers, particularly within the United States.

idc-q3-2020.jpg


Samsung reclaimed the top position with a market share of 22.7 percent, shipping over 80 million smartphones. Huawei followed with a 14.7 percent share, and this was a significant reduction of 40 percent year-on-year. vivo also returned to the top five with a market share of 8.9 percent.

Xiaomi overtook Apple for the first time with a market share of 13.1 percent, achieving a 42 percent growth. The rise is supposedly due to strong gains in India and China.

Overall, the global smartphone market declined by only 1.3 percent year-on-year in the third quarter of 2020. The results were stronger than IDC's previous forecast of a nine percent year-over-year decline. An important trend was the strength of shipments in India, which is the second-largest market globally, and other emerging markets, such as Brazil, Indonesia, and Russia.

Article Link: Apple Slips to Fourth Place for Smartphone Market Share, Overtaken by Xiaomi
 

rmoliv

macrumors 68000
Dec 20, 2017
1,505
2,982
They deserve it. The long delays in the shipping of multiple Apple products are inadmissible. And this is not due to the pandemic, this happens every single year to a greater or lesser extent. Not professional at all and unexpected coming from one of the biggest and richest companies in the world. Shame on Apple!
 
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Dwalls90

Contributor
Feb 5, 2009
5,038
3,214
Investors want to see profitability and margin, not volume, and that is where Apple still holds a large lead.

China is the latest and largest market for consumer goods, so it makes sense that a company that has focused on the Chinese market from day 1 would see this level of growth, with their product line having a lower margin but being more affordable.

EDIT: For anyone curious, you can Google it yourself (if you want additional sources), but one article discussing Apple vs. competitor profits in the smartphone arena:

 
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Dwalls90

Contributor
Feb 5, 2009
5,038
3,214
They deserve it. The long delays in shipping multiple Apple products are inadmissible. And this is not due to the pandemic, this happens every single year to a greater or lesser extent. Not professional at all and unexpected coming from one of the biggest and richest companies in the world. Shame on Apple!
What are you even talking about? In case you missed the earnings call, Apple is doing exceptionally well, particularly given the pandemic environment the economy is operating in. The pandemic shook up the world and economy in many ways, and the fact Apple was still able to deliver products consistent with dates from prior years (without a pandemic existing) is a testament to their success.
 
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LeeW

macrumors 68020
Feb 5, 2017
2,319
4,164
Glasgow, Scotland
Investors want to see profitability and margin, not volume, and that is where Apple still holds a large lead.

Volume is important though, the change in direction by Tim to focus on services requires volume to grow profitability and margin. That is why you are seeing the Homepod Mini, cheaper than before handset options and so on, if he cant' drive up the volume it won't work.
 
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MauiPa

macrumors 68000
Apr 18, 2018
1,670
2,374
They deserve it. The long delays in shipping multiple Apple products are inadmissible. And this is not due to the pandemic, this happens every single year to a greater or lesser extent. Not professional at all and unexpected coming from one of the biggest and richest companies in the world. Shame on Apple!
inadmissible? I'm not sure of your meaning, please explain
 
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guzhogi

macrumors 68040
Aug 31, 2003
3,248
1,196
Wherever my feet take me…
Not entirely surprised. The last few iPhone & iOS updates have been pretty "Meh" to me. Faster processors, better cameras. Nothing that really excites me. But then again, a lot of that is on me. I only really use my iPhone to check email, Facebook, and fairly simple games. Sometimes GPS if I'm going somewhere I haven't been. The last two iPhones I got were mainly because my old one died, not because of new features.
 
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GermanSuplex

macrumors 65816
Aug 26, 2009
1,201
28,406
Apple is not sweating this at all. Their ecosystem is tight and their profits huge. It’s fun for bragging rights, but dollars and profit margins are where the real story is.

You also don’t want saturation, because you will have nowhere to go but down. If lots of people are buying phones other than Apples, but Apple is still having high profits, it means there’s still tons of room for growth.
 
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sblemmy

macrumors regular
Oct 24, 2013
124
344
Apple is not sweating this at all. Their ecosystem is tight and their profits huge. It’s fun for bragging rights, but dollars and profit margins are where the real story is.

You also don’t want saturation, because you will have nowhere to go but down. If lots of people are buying phones other than Apples, but Apple is still having high profits, it means there’s still tons of room for growth.
Looking at Forbes's Global Phone Profits from last year (2019), Apple made 66% of the profit, Samsung made 17%, and everyone else made 13%. I know Tim Cook and Co. misestimated the popularity of the iPhone 12 Pro vis-a-vis the iPhone 12, but that's a good problem for them to have given the margins.
 
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kingofwale

macrumors 6502a
Apr 24, 2010
987
1,433
Investors want to see profitability and margin, not volume, and that is where Apple still holds a large lead.

China is the latest and largest market for consumer goods, so it makes sense that a company that has focused on the Chinese market from day 1 would see this level of growth, with their product line having a lower margin but being more affordable.
Ahh.. didn't realize I'm at r/wallstreet here. I thought it was a place to talk about Apple PRODUCTS. my bad
 
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and 1989 others

macrumors 6502
Sep 21, 2016
372
1,806
I am certain that will shift again by the end of the Quarter after they release the iPhone 12 Mini. There seems to be quite a buzz for smaller handsets with big features.
 
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GtrDude

macrumors 6502a
Apr 17, 2011
535
582
As Apple refuses more and more to listen to their users this is going to keep happening.
Instead of leading they are now following and copying.
Apple needs to:
1. redesign the notification center. It's ridiculous.
2. add haptic feedback to the keyboard, and make it possible to customize different intensities to your heart's content. It's crazy that you have no feedback whatsoever if you're typing and have the phone on mute.Those who are concerned with battery can just turn it off.
3. make it possible to adjust volume for independent apps and settings and not this general thing they're doing, forcing you to do it while the thing is being played, such as separate volume control for keyboard volume, music volume, ring volume, system volume.
4. add suggestions from the address book when you're dialing a phone number. Common now Apple.
5. make it possible to customize the texting app in every conceivable way. Font size, bubble size shape color.
6. make it possible to schedule a message to be sent at a certain time/date.
7. make it possible to move the icons anywhere you want to.
8. Use an OS-wide clipboard and make it not expire. You should be able to copy text now and paste it tomorrow if you want to.
9. Give us an option to NOT go to the next email but back to inbox after deleting an email.
 
Comment

matrix07

macrumors 603
Jun 24, 2010
6,175
2,844
Volume is important though, the change in direction by Tim to focus on services requires volume to grow profitability and margin. That is why you are seeing the Homepod Mini, cheaper than before handset options and so on, if he cant' drive up the volume it won't work.
Volume will grow. This is Q3 that Apple unusually had no new iPhone for sale for the first time so it’s no surprised their shipments dropped since everyone waiting for new iPhone.
Context matters.
 
Comment

Blackstick

macrumors 6502a
Aug 11, 2014
754
3,246
Sunny South Florida
As Apple refuses more and more to listen to their users this is going to keep happening.
Instead of leading they are now following and copying.
Apple needs to:
1. redesign the notification center. It's ridiculous.
2. add haptic feedback to the keyboard, and make it possible to customize different intensities to your heart's content. It's crazy that you have no feedback whatsoever if you're typing and have the phone on mute.Those who are concerned with battery can just turn it off.
3. make it possible to adjust volume for independent apps and settings and not this general thing they're doing, forcing you to do it while the thing is being played, such as separate volume control for keyboard volume, music volume, ring volume, system volume.
4. add suggestions from the address book when you're dialing a phone number. Common now Apple.
5. make it possible to customize the texting app in every conceivable way. Font size, bubble size shape color.
6. make it possible to schedule a message to be sent at a certain time/date.
7. make it possible to move the icons anywhere you want to.
8. Use an OS-wide clipboard and make it not expire. You should be able to copy text now and paste it tomorrow if you want to.
9. Give us an option to NOT go to the next email but back to inbox after deleting an email.
A lot of your suggestions would be a delight to power users, but my mom will never use or understand it.

Apple thinks of the average customer and knows how often (or rarely) they used features like 3D touch and the like. They'll go "less is more" whenever they're given the chance.
 
Comment

I7guy

macrumors Penryn
Nov 30, 2013
25,660
13,788
Gotta be in it to win it
Volume is important though, the change in direction by Tim to focus on services requires volume to grow profitability and margin. That is why you are seeing the Homepod Mini, cheaper than before handset options and so on, if he cant' drive up the volume it won't work.
Retention is just as important. Because with retention, there are purchases from services. (maybe not for every single customer, but for the scale that Apple operates at, it makes a difference)
 
Comment

I7guy

macrumors Penryn
Nov 30, 2013
25,660
13,788
Gotta be in it to win it
As Apple refuses more and more to listen to their users this is going to keep happening.
Instead of leading they are now following and copying.
Apple needs to:
1. redesign the notification center. It's ridiculous.
2. add haptic feedback to the keyboard, and make it possible to customize different intensities to your heart's content. It's crazy that you have no feedback whatsoever if you're typing and have the phone on mute.Those who are concerned with battery can just turn it off.
3. make it possible to adjust volume for independent apps and settings and not this general thing they're doing, forcing you to do it while the thing is being played, such as separate volume control for keyboard volume, music volume, ring volume, system volume.
4. add suggestions from the address book when you're dialing a phone number. Common now Apple.
5. make it possible to customize the texting app in every conceivable way. Font size, bubble size shape color.
6. make it possible to schedule a message to be sent at a certain time/date.
7. make it possible to move the icons anywhere you want to.
8. Use an OS-wide clipboard and make it not expire. You should be able to copy text now and paste it tomorrow if you want to.
9. Give us an option to NOT go to the next email but back to inbox after deleting an email.
Not sure what you mean by "this is going to keep happening"? $62B in revenue and $12B in profit? Something I think Apple can live with as a company, if that is how badly they will do, by not listening to their customers. Or not taking requirements from anonymous internet forums.
 
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