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The smartphone market recovered slightly again during the third quarter, which has a positive effect on Samsung’s market share.
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Last quarter, Samsung had to still allow the lead position to Huawei. This shift in market conditions was mainly due to the collapse of the smartphone market. Overall, smartphone sales fell sharply due to the pandemic, with the exception of China, where Huawei is in charge. Analysts predicted that as soon as the market recovered, Samsung would again overtake Huawei. This happened in recent months, because although the number of smartphones sold was 1.3% lower compared to a year ago, the market still showed signs of (cautious) recovery.
According to the official figures of the market analysis agency IDC Samsung sold more than 80 million smartphones. That is much more than the 53.7 million smartphones in the previous quarter, and even more than in the same period a year ago. Samsung’s market share is 22.7%, which is in proportion to other quarters. It was then also one exceptionally good quarter for the South Korean technology company. Sales rose to a record $ 10.9 billion. In addition to the smartphones, the chips from Samsung also performed very well.
Competitor Huawei had a slightly less quarter. Huawei sold just under 52 million smartphones in the summer, while it managed to sell 55 smartphones in the second quarter. Compared to a year ago, the Chinese company even sold 22% fewer smartphones. The market share is now just under 15%.
Apple emerges from the top 3
The big loser, albeit not in absolute percentages, may well be Apple. Apple traditionally tacks with Huawei for second place on the smartphone market, but now Apple is no longer even on the podium. Of course, this has everything to do with the delayed launch of the iPhone 12 series. Normally, the new iPhone always comes out in September, which ranks for a big boost in sales at the end of the quarter. Now Apple still had to try to squeeze everything out of the iPhone 11. This results in a drop of 10% compared to a year ago when the iPhone 11 was released in the third quarter. Apple’s market share fell below 12%. The iPhone 12 will probably cause a revival in the fourth quarter.
The striking winner this quarter is Xiaomi. The Chinese company is normally in the shadow of the big three, but it managed to take advantage of the lesser period of Huawei and Apple. The number of smartphones sold rose to 46.5 million, an increase of no less than 42%. Can Xiaomi continue the trend and become a new challenger for Samsung? Vivo completes the top 5 with 31.5 million units sold, accounting for a market share of 8.9%.
We are very curious how the smartphone market will evolve in the fourth quarter. Normally, this is a very good time for hardware sales thanks to Black Friday and the holiday season. But in 2020 there will no longer be any certainties, especially now that the corona virus is strengthening its grip on many countries and stores are starting to close again.
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