Apple Falls to Third Place in China's Smartphone Market Amid Sales Decline
Apple has experienced a significant decline in iPhone sales in China, dropping from the leading position to third place in the country's smartphone market during the fourth quarter of 2024.
According to a new report from Counterpoint Research, iPhone shipments in China fell by 18.2% year-on-year in the final quarter of 2024. This decline resulted in a 17.1% market share for the company, placing it behind Huawei and Xiaomi, which captured 18.1% and 17.2% of the market, respectively. The fall comes just a year after Apple held the top position in the market with a 19% share. This is apparently the first time since the U.S. ban on Huawei that Apple has been displaced by its Chinese competitor.
Apple's reduced performance in China has been attributed to several factors, including heightened competition from domestic brands and its inability to bring Apple Intelligence to the region. While Apple Intelligence was introduced alongside the iPhone 16 lineup in September 2024 in the United States, it has not been made available in China due to regulatory constraints. The company is believed to be partnering with Chinese companies to deliver the features at a later date. Huawei's strong growth in the fourth quarter—up 15.5% year-on-year—has been largely credited to AI features in its flagship Mate 70 devices and the mid-range Nova 13 series.
It is also of note that China's smartphone market experienced a 3.2% year-on-year decline in the fourth quarter of 2024, marking the only quarter of the year with negative growth. Despite these obstacles, Apple maintained its position as the third-largest smartphone brand in China for the quarter, and its sales were closely matched with Xiaomi, which recorded a 17.2% market share.
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