For all the buzz about the new Apple iPhone 15 release, the global smartphone sales market fell by 10% in the second quarter of 2023, according to Canalys, a technology market research firm.
That’s a significant decline, but it’s understandable given continuing slow demand for pricey smart devices by cash-strapped consumers and by a worldwide supply chain stall that’s only now beginning to push forward again. The Q2 numbers were also actually a decent sign for a smartphone market that saw a near-20% decline in sales as recently as the fourth quarter of 2022.
Related: Alphabet's (GOOGL) Pixel Puts It 'In the Same Ballpark' as Apple, Samsung
Yet one takeaway may signal a shift in the enterprise cell phone market. The four major smart device providers (Samsung, Apple, Motorola, and TCL) saw shipment reverses in Q2. Only Google Pixel reported net-plus phone sales for the quarter.
Google Pixel shipments rose by 1.2 million in Q2, up from 800,000 sales from the previous quarter, for a 60% market gain, Canalys reported.
Simultaneously, both Samsung and Motorola experienced a 25% slide in new phone shipments and Apple saw phone sales drop by 20%.
More Retail:
- ‘Too pretty’ Home Depot worker faces backlash after viral mirror post
- A classic kitchenware brand files for Chapter 11 bankruptcy
- Who’s running The Gap? With no CEO, retailer hurtles toward crisis
“While that’s not exactly cause for alarm – Apple still shipped a whopping 14.8 million devices in the quarter, which is more than every other Android brand combined for a 54% share of the market – it does show that Google seems to be seeing some real growth,” stated 9TO5 Mac in a new research note.
Smartphone consumers may be price-shopping considering the cost of a flagship Google Pixel 7 Pro is about $649. Measure that against a Samsung Galaxy S23 Plus retailing for about $800 and a basic Apple iPhone 15 also selling for $800.
Still, nobody is saying that Google Pixel, which holds about 4% of the global smartphone market, is an immediate threat to industry leaders Samsung and Apple.
Yet as more eyes open to other smartphone alternatives at a time when many tech consumers are voting with their wallets, the bigger market leaders better account for more Google phones showing up on holiday wish lists this year.
“We expect Apple’s iPhone 15 portfolio and Samsung’s Galaxy Fold5 and Flip5 will stimulate premium segment consumer upgrades for carriers,” said Canalys analyst Lindsey Upton. “Brands such as Google Pixel and Motorola, which have been keeping up with the premiumization game with their flagship foldable devices this year, will further sweeten the holiday deals that hit the market in November and December.”
Join Top Stocks and maximize your returns with Helene Meisler's daily technical analysis. Now $200 OFF the original price!
