14 DAY TRIAL // 2016 seems to be a rather busy year for iPhone fans, as Apple launched the iPhone SE and is getting ready to introduce the iPhone 7 later this year, but despite all of these, Cupertino is actually going from bad to worse in terms of sales.
Statistics provided by Asian-based analyst firm Trendforce reveal that Apple’s market share declined in the first quarter of the year as compared to the previous quarter and is very likely to remain low for the remainder of 2016.
Specifically, Apple shipped only 42 million iPhones in the first quarter, down from no less than 75 million devices in the previous one. This is nearly a 45 percent drop for Apple, which has a hard time bringing in more customers for its iPhone lineup (it’s worth noting that the iPhone SE, however, isn’t included in these stats, as it went on sale only in late March).
A chart provided by Trendforce shows that Samsung is the only company that managed to improve its market share from Q4 2015 to Q1 2016, growing from 22 percent to 27.8 percent. Apple, on the other hand, is losing ground, dropping from 20.9 percent to 14.4 percent.
Huawei takes the third place with almost the same performance in the two quarters, securing a 9.5 percent market share, while Xiaomi actually improved from 5 to 5.5 percent.
iPhone SE to the rescue
Trendforce believes that Apple can improve thanks to the iPhone SE, at least until the new-generation iPhone hits the market in September this year.
“As the budget model, iPhone SE will support Apple’s overall shipments in the second quarter before the next major iPhone release. However, iPhone SE is going to face severe price competition from Chinese branded products in its target market, which is the mid-range device segment,” Trendforce analyst Avril Wu, explains.
Without a doubt, Apple’s lack of innovation in the iPhone lineup is impacting the company’s sales, as the 6s and 6s Plus models have failed to boost demand in a significant manner. Current leaks show that the iPhone 7 might also bring only small improvements, so Apple might already be on thin ice unless a bigger revamp of the iPhone is being launched.