Even as Apple's share of the smartphone market declined in the fourth quarter of 2013, the rise of smartphones to replace more basic feature phones has allowed the company to continue increasing its share of the overall mobile phone market, according to new numbers from research firm IDC.

According to IDC, yearly smartphone shipments topped one billion for the first time in 2013 and now represent 55 percent of mobile phone shipments, up from under 42 percent in 2012. The fourth quarter alone saw smartphone capture over 58 percent of the overall mobile phone market.

idc_4Q13_smartphones

Worldwide smartphone shipments in 4Q13 in millions of units (Source: IDC)

For full-year 2013, Apple's iPhone sales increased by 12.9 percent over 2012, trailing the broader smartphone industry's growth rate of 38.4 percent. Apple was, however, still able to retain firm control of second place in the rankings behind Samsung even as Apple's market share fell from 18.7 percent to 15.3 percent. It was a similar story for the fourth quarter on its own, with Apple's 6.7 percent growth in shipments trailing the broader market and causing the company's share to dip from 20.9 percent to 17.9 percent.

Apple posted record shipment volume during 4Q13, driven primarily by the addition of multiple countries offering the iPhone 5S and 5C, and sustained demand from its initial markets that saw these models launch at the end of 3Q13. Still, Apple had the lowest year-on-year increase of all the leading vendors. Now that Apple has finally arrived at China Mobile, it remains to be seen how much Apple will close the gap against Samsung in 2014.

But when looking at the overall mobile phone market, Apple performs much better due to its exclusive focus on the rapidly growing smartphone segment. According to IDC's numbers, Apple easily outpaced overall market growth of 4.8 percent for 2013 and 0.9 percent for the fourth quarter alone, boosting Apple to an 8.4 percent share for the full year and 10.4 percent for fourth quarter. Apple continues to sit firmly in third place among all mobile phone manufacturers behind Samsung and a rapidly falling Nokia.

idc_4Q13_phones

Worldwide mobile phone shipments in 4Q13 in millions of units (Source: IDC)

Just yesterday, Apple released its earnings report for the fourth quarter (first fiscal quarter of 2014), revealing fairly strong overall performance but weaker than expected iPhone numbers that helped drive Apple's stock down nearly 8 percent at the opening of trading today. And with the iPhone accounting for 56 percent of Apple's revenue for the quarter, it's clear the device continues to be the main factor in measuring Apple's success.

Related Forum: iPhone

Top Rated Comments

Stella Avatar
150 months ago
Of course Apple's marketshare will get smaller.. as more and more Android phones are sold. Apple cannot compete with raw sale of units.

What is important is healthy -
* iPhone sales, which we saw yesterday.
* healthy iOS eco system

Marketshare data is one data point, out of many.
Score: 4 Votes (Like | Disagree)
pgiguere1 Avatar
150 months ago
ITT: armchair CEOs telling how Apple should be run
Score: 3 Votes (Like | Disagree)
samcraig Avatar
150 months ago
Apple should just not call the iPhone a smartphone but something like
"a phone that people love to use and that gets software updates for at least 3 year"

They would have 100% market share in this category (what my point is, is that most of the android phones out there are just better feature phones and not used for anything smart)

Because that would have meaning?
Score: 2 Votes (Like | Disagree)
samcraig Avatar
150 months ago
I read an article that looked at the smartphone market and divided it into several tiers. In the "premium" tier, defined as over $400 phones, Apple has something over 60% of the world market share. My point is that we saturate smartphone penetration and "feature" phones are history, we need to change the conversation. Apple will probably never compete in the mid or low end, so diluting their market share with those numbers does not make sense. Apple is increasing sales and market shares in the area they care about -- the premium smartphones (although profit per phone is down slightly).

This is the same for Porche or BMW -- yes they are losing market share to the overall car market, but in the premium sports car market they rule. And that's all they care about.
Another poor car analogy. Predictable :)

I'm pretty sure Apple cares about marketshare - not just marketshare of the "high end" market. Do they care about that - yes - but as a part of the whole pie.

Any attempt to imply otherwise is pure rationalization.

p.s. Apple is doing very well marketshare wise. And there's room to grow (IE - increase) which is important. Even more important - they are very profitable.
Score: 2 Votes (Like | Disagree)
2457282 Avatar
150 months ago
I read an article that looked at the smartphone market and divided it into several tiers. In the "premium" tier, defined as over $400 phones, Apple has something over 60% of the world market share. My point is that we saturate smartphone penetration and "feature" phones are history, we need to change the conversation. Apple will probably never compete in the mid or low end, so diluting their market share with those numbers does not make sense. Apple is increasing sales and market shares in the area they care about -- the premium smartphones (although profit per phone is down slightly).

This is the same for Porche or BMW -- yes they are losing market share to the overall car market, but in the premium sports car market they rule. And that's all they care about.
Score: 2 Votes (Like | Disagree)
Michael Scrip Avatar
150 months ago


Another poor car analogy. Predictable :)

I'm pretty sure Apple cares about marketshare - not just marketshare of the "high end" market. Do they care about that - yes - but as a part of the whole pie.

Any attempt to imply otherwise is pure rationalization.

p.s. Apple is doing very well marketshare wise. And there's room to grow (IE - increase) which is important. Even more important - they are very profitable.

Market share is a look at the entire market to see how each company is ranked.

I'm sure all companies think about their individual market share among everyone else... but it's never a primary focus. It can't be. Companies can only control themselves... not everyone else.

Apple made the conscious decision to only sell expensive smartphones. They're certainly allowed to do that.

Other companies choose to sell across a full range of prices... including cheaper smartphones. And that appeals to a broader base of consumers.

The funny thing is... Apple is still the #2 smartphone vendor by units sales... despite only selling expensive smartphones. And you're right... they are very profitable.

And that's key here. What good is selling a bunch of phones to gain market share if it doesn't make you any money to keep your doors open?

These are businesses after all. You can't pay your bills with market share.
Score: 1 Votes (Like | Disagree)

Popular Stories

iphone 16 pro ghost hand

5 Reasons to Skip This Year's iPhone 17 Pro

Thursday July 10, 2025 4:54 am PDT by
Apple will launch its new iPhone 17 series in two months, and the iPhone 17 Pro models are expected to get a new design for the rear casing and the camera area. But more significant changes to the lineup are not expected until next year, when the iPhone 18 models arrive. If you're thinking of trading in your iPhone for this year's latest, consider the following features rumored to be coming...
apple tv 4k new orange

New Apple TV Expected Later This Year With These New Features

Saturday July 12, 2025 3:09 pm PDT by
A new Apple TV is expected to be released later this year, and a handful of new features and changes have been rumored for the device. Below, we recap what to expect from the next Apple TV, according to rumors. Rumors Faster Wi-Fi Support The next Apple TV will be equipped with Apple's own combined Wi-Fi and Bluetooth chip, according to Bloomberg's Mark Gurman. He said the chip supports ...
iPhone 17 Pro in Hand Feature Lowgo

iPhone 17 Pro Coming Soon With These 16 New Features

Friday July 11, 2025 12:40 pm PDT by
Apple's next-generation iPhone 17 Pro and iPhone 17 Pro Max are only two months away, and there are plenty of rumors about the devices. Below, we recap key changes rumored for the iPhone 17 Pro models. Latest Rumors These rumors surfaced in June and July:A redesigned Dynamic Island: It has been rumored that all iPhone 17 models will have a redesigned Dynamic Island interface — it might ...
macbook pro blue green

M5 MacBook Pro No Longer Coming in 2025

Thursday July 10, 2025 12:38 pm PDT by
Apple does not plan to refresh any Macs with updated M5 chips in 2025, according to Bloomberg's Mark Gurman. Updated MacBook Air and MacBook Pro models are now planned for the first half of 2026. Gurman previously said that Apple would debut the M5 MacBook Pro models in late 2025, but his newest report suggests that Apple is "considering" pushing them back to 2026. Apple is now said to be...
iphone 16 pro pro max

iPhone 17 Pro Models With BOE Displays Will Be Sold in China Only

Thursday July 10, 2025 11:59 pm PDT by
iPhone 17 Pro and iPhone 17 Pro Max models with displays made by BOE will be sold exclusively in China, according to a new report. Last week, it emerged that Chinese display manufacturer BOE was aggressively ramping up its OLED production capacity for future iPhone models as part of a plan to recapture a major role in Apple's supply chain. Now, tech news aggregator Jukan Choi reports...
Apple Watch Ultra 2 Complications

Apple Watch Ultra 3: What to Expect

Sunday July 13, 2025 10:30 am PDT by
The long wait for an Apple Watch Ultra 3 is nearly over, and a handful of new features and changes have been rumored for the device. Below, we recap what to expect from the Apple Watch Ultra 3:Satellite connectivity for sending and receiving text messages when Wi-Fi and cellular coverage is unavailable 5G support, up from LTE on the Apple Watch Ultra 2 Likely a wide-angle OLED display that ...
apple wallet drivers license feature iPhone 15 pro

Apple Says iPhone Driver's Licenses Will Expand to These 8 U.S. States

Tuesday July 8, 2025 11:26 am PDT by
In select U.S. states, residents can add their driver's license or state ID to the Wallet app on the iPhone and Apple Watch, providing a convenient and contactless way to display proof of identity or age at select airports and businesses, and in select apps. Unfortunately, this feature continues to roll out very slowly since it was announced in 2021, with only nine U.S. states, Puerto Rico,...
iPhone 17 Air Colors Thumb 2

iPhone 17 and iPhone 17 Air Rumored to Come in These 9 Colors

Friday July 11, 2025 12:30 am PDT by
The iPhone 17 and iPhone 17 Air will be available in a total of nine color options, according to new information coming out of Asia. The iPhone 17 Air's expected color options. According to the leaker going by the account name "yeux1122" on the Korean blog Naver, accessory manufacturers are now producing camera protector rings for the iPhone 17 and iPhone 17 Air in colors to match their...