Apple's iPhone sales in China have experienced a significant decline of 24% year over year in the first six weeks of 2024, as reported by market research firm Counterpoint Research. This drop has resulted in the iPhone losing its position as the best-selling smartphone in China, a title it had achieved for the first time in 2023. Apple's market share in China has decreased from 19% in 2023 to 15.7% currently, according to Counterpoint.
Counterpoint Research's data reveals that Vivo, a Chinese tech multinational, has now emerged as the top-selling smartphone maker in China, surpassing Apple. The information was disclosed through Counterpoint's China Smartphone Weekly Sell-through Tracker, with Bloomberg being the first to report on this development. Following Vivo, Huawei and Honor hold the second and third positions, respectively, with Apple now ranking fourth. Honor separated from Huawei in 2020.
Analysts attribute the decline in iPhone sales to tough competition from Huawei at the high end of the market and pricing pressure from competitors like OPPO, Vivo, and Xiaomi in the mid-range segment. Overall smartphone sales in China have also seen a 7% decrease year over year, as per Counterpoint's findings.
This setback in China adds to Apple's challenges in the region. In January, Chinese chipmakers announced plans to establish chip production lines to supply processors to local smartphone manufacturers, potentially impacting Apple, which has benefited from strict export regulations. The American tech giant may also be affected by a slowdown in consumer spending and a shift towards supporting domestic companies in China.
Apple has not yet responded to requests for comments from Business Insider outside of regular business hours.
