Strategy Analytics: Apple Shipped an Estimated 2.5 Million Fewer iPhones in China in 2018 Than in 2017

Apple shipped an estimated 34.2 million iPhones in China in 2018, down from 36.7 million in 2017, according to new data shared today by Strategy Analytics.

During the fourth calendar quarter of 2018 (Apple's first fiscal quarter), Apple shipped 10.9 million iPhones, down from 14 million in the fourth quarter of 2017.


Apple surpassed Xiaomi to become the number four smartphone vendor in the country, but its iPhone sales fell short of Huawei, OPPO, and Vivo, all Chinese companies that make more affordable smartphones.


For 2018 in total, Apple came in fifth in China, trailing behind the four major Chinese smartphone vendors. Huawei was the number one vendor in China, shipping an estimated 105.1 million smartphones during the year. OPPO shipped 82.8 million, Vivo shipped 79.3 million, and Xiaomi shipped 50 million.

Apple lost market share in the fourth quarter of 2018, but gained ground overall in 2018. Apple held 10.1 percent of the smartphone market in the fourth quarter of 2018, down from 11.5 percent in the fourth quarter of 2017. Apple's total 2018 marketshare was 8.4 percent, up from 8 percent.


Despite the slight year-over-year jump, Apple trails all major Chinese smartphone vendors in the country when it comes to market share, including Huawei, OPPO, Vivo, and Xiaomi.

Fourth quarter smartphone shipments in China declined by 11 percent annually, with a total of 107.9 million units shipped by all vendors. That's down from 121.3 million in the fourth quarter of 2017. Smartphone shipments also fell 11 percent annually, with 408.5 million smartphones shipped in China in 2018 down from 459.6 million in 2017.

Overall smartphone shipments have declined for five consecutive quarters in China, which has heavily impacted Apple. Apple recently downgraded its guidance for the first fiscal quarter of 2019 (which is the fourth calendar quarter), blaming the move on poor ‌iPhone‌ sales, primarily in China.

Strategy Analytics Director Linda Sui said that the holiday quarter was Apple's worst performance since early 2017. Apple's ‌iPhone‌ shipments have dropped on a year-over-year basis in China for 8 of the last 12 quarters.

Apple has been under pressure in China for the past three years. Ongoing patent battles with Qualcomm are a distraction, while Apple is being heavily criticized for its expensive retail prices. Apple is in danger of pricing the ‌iPhone‌ out of China."

To boost sales in China, Apple has cut the prices of its iPhones for third-party distributors in China, allowing distributors to provide iPhones at lower prices for Chinese customers. The biggest discounts have been on the iPhone XR.

Apple's lowered pricing comes just ahead of the Chinese New Year in February, with Apple hoping the discounts will lure shoppers into purchasing a new ‌iPhone‌ during the holiday.

Top Rated Comments

(View all)
Avatar
19 months ago
Bring the iPhone price up a bit more in 2019 and it should solve it. :rolleyes:
Score: 12 Votes (Like | Disagree)
Avatar
19 months ago
Didn't Cook have a meat-based adjective to compare these stories to…

Score: 9 Votes (Like | Disagree)
Avatar
19 months ago
Has nothing to do with trade war but rather competition has just gotten better in design, quality and value. Started in July of 2018 with Huawei taking over #2 from Apple so long before the trade war.
Score: 9 Votes (Like | Disagree)
Avatar
19 months ago
From 36 million to 34 million. Apple doomed
Score: 7 Votes (Like | Disagree)
Avatar
19 months ago

Never thought I'd see "better in design, quality and value" associated with Huwaei. That's one for the ages.

Seriously though, you'd make a killing in stand up comedy.

You should check with consumers not wearing Apple-colored glasses. Those in other G20 countries where Huawei isn't banned for political reasons.
Score: 7 Votes (Like | Disagree)
Avatar
19 months ago
iPhone XR is priced the same as Huawei's Mate 20 Pro.

Huawei's device comes with a 6.4" OLED, Face ID, under-display fingerprint reader, 3 rear cameras, and 128GB of storage. Sure, iOS matters. But at some point, specs and features too.

Chinese brands had already adopted 6" phablets in 2017. What Apple launched in 2018 is effectively what was already available. Chinese consumers have very much less incentive to upgrade in 2018/2019.
Score: 6 Votes (Like | Disagree)

Top Stories

Apple Officially Obsoletes First MacBook Pro With a Retina Display

Wednesday July 1, 2020 3:40 am PDT by
As expected, Apple's first MacBook Pro with a Retina display is now officially classed as "obsolete" worldwide, just over eight years after its release. In a support document, Apple notes that obsolete products are no longer eligible for hardware service, with "no exceptions." This means that any mid-2012 Retina MacBook Pro 15-inch models still out there that require a battery or other...

New Mac Ransomware Found in Pirated Mac Apps

Tuesday June 30, 2020 11:44 am PDT by
There's a new 'EvilQuest' Mac ransomware variant that's spreading through pirated Mac apps, according to a new report shared today by Malwarebytes. The new ransomware was found in pirated download for the Little Snitch app found on a Russian forum. Right from the point of download, it was clear that something was wrong with the illicit version of Little Snitch, as it had a generic installer...

Unreleased iMac With 10-Core Comet Lake-S Chip and Radeon Pro 5300 GPU Shows Up in Geekbench

Wednesday July 1, 2020 10:48 am PDT by
Benchmarks for an unreleased iMac equipped with a 10th-generation Core i9 Intel Comet Lake-S chip and an AMD Radeon Pro 5300 graphics card have surfaced, giving us an idea of what we can expect from a refreshed 2020 iMac. The Geekbench benchmarks, which appear to be legit, were found on Twitter and shared this morning by Tom's Hardware. The iMac in the benchmarks would be a successor to the...

Leaker: Future iPhone Models to Come in 'Exquisite' Thinner Box

Wednesday July 1, 2020 1:57 am PDT by
Leaker L0vetodream this morning posted a tweet corroborating recent rumors that Apple's "iPhone 12" lineup won't come with EarPods or a charger in the box, adding that this will also eventually apply to the existing second-generation iPhone SE. L0vetodream also claims that future iPhone packaging will be "thinner" and "exquisite," which would make sense if Apple's handsets are set to come in ...

Apple's A12Z Under Rosetta Outperforms Microsoft's Native Arm-Based Surface Pro X

Monday June 29, 2020 10:31 am PDT by
Apple's Developer Transition Kit equipped with an A12Z iPad Pro chip began arriving in the hands of developers this morning to help them get their apps ready for Macs running Apple Silicon, and though forbidden, the first thing some developers did was benchmark the machine. Multiple Geekbench results have indicated that the Developer Transition Kit, which is a Mac mini with an iPad Pro chip, ...

Kuo: iPhone 12 Models Won't Include Charger in Box, 20W Power Adapter Will Be Sold Separately

Sunday June 28, 2020 7:56 am PDT by
iPhone 12 models will not include EarPods or a power adapter in the box, analyst Ming-Chi Kuo said today in a research note obtained by MacRumors. This lines up with a prediction shared by analysts at Barclays earlier this week. Kuo said that Apple will instead release a new 20W power adapter as an optional accessory for iPhones and end production of its existing 5W and 18W power adapters...

Rosetta 2 Benchmarks Surface From Mac Mini With A12Z Chip

Monday June 29, 2020 7:48 am PDT by
While the terms and conditions for Apple's new "Developer Transition Kit" forbid developers from running benchmarks on the modified Mac mini with an A12Z chip, it appears that results are beginning to surface anyhow. Image Credit: Radek Pietruszewski Geekbench results uploaded so far suggest that the A12Z-based Mac mini has average single-core and multi-core scores of 811 and 2,781...

Display Analyst Once Again Says No 120Hz ProMotion Display Coming to iPhone 12 Pro

Wednesday July 1, 2020 11:29 am PDT by
Apple's iPhone 12 models will not feature an upgraded 120Hz ProMotion display, according to display analyst Ross Young. Young previously said that Apple would not implement ProMotion technology until it adopted low-power LTPO display technology, a move Apple is not expected to make until 2021. In a tweet shared this morning, Young said that the none of his contacts have been able to...

Apple Seeds Third Betas of iOS and iPadOS 13.6 to Developers [Update: Public Beta Available]

Tuesday June 30, 2020 10:06 am PDT by
Apple today seeded the third betas of upcoming iOS and iPadOS 13.6 updates to developers, three weeks after seeding the second betas and over a month after releasing iOS/iPadOS 13.5 with Exposure Notification API, Face ID updates, Group FaceTime changes, and more. iOS and iPadOS 13.6 can be downloaded from the Apple Developer Center or over the air once the proper developer profile has been...

The New York Times Ends Apple News Partnership and Pulls All Articles

Monday June 29, 2020 11:17 am PDT by
The New York Times today announced that it is pulling out of Apple News, as the service does not "align with its strategy of building direct relationships with paying readers." Starting today, articles from The New York Times will no longer show up in the Apple News app. The news site says that Apple has given it "little in the way of direct relationships with readers" and "little control...