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Chronicles

The story behind the story

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Global smartphone market grew 6% YoY to 296.9M units in Q1; Samsung recaptured the top spot with a 20% market share; Apple shipments fell 13% but ASP grew 2%

Counterpoint Research

Context & Ripple Effects

Samsung’s return to the lead reverses the 2023 ranking, when Apple became the largest handset vendor by shipments in a closely contested global market. The quarter therefore pairs a market-volume rebound with a renewed contest for leadership between the two largest vendors.

The later record of near-flat Q1 shipment growth in 2025 suggests the 2024 rebound did not establish a high-growth baseline. Apple’s higher ASP alongside lower units also separates value capture from shipment rank.

First-order effects

  • Samsung immediately regains the shipment lead and a 20% share, strengthening its position in a quarter when industry volumes expanded.
  • Apple absorbs a 13% shipment decline, while its 2% ASP increase indicates that its sold mix commanded higher average pricing despite lower volume.

Second-order effects

  • Samsung’s regained leadership increases pressure on Apple and other vendors to defend unit share as demand recovers, rather than relying solely on premium pricing.
  • Apple’s ASP resilience makes price realization a more important counterweight to volume volatility for premium-device suppliers and channel partners.

Third-order effects

  • If market growth continues to normalize after the rebound, leadership is likely to be decided by small shipment-share moves while vendor economics increasingly diverge through pricing and product mix.
  • The pattern points to a smartphone market where unit rankings and revenue-quality signals can move independently, making shipment share alone a less complete measure of competitive position.

The trend: Smartphone competition is shifting toward modest volume growth, with Samsung and Apple contesting unit leadership while pricing discipline increasingly shapes the value of those shipments.

Discussion

  • @carnage4life Dare Obasanjo on x
    The most notable thing about Apple reporting a -10% decline year over year for iPhone last quarter is that the smartphone market actually grew both by units and revenue. The iPhone shrinking while the market grows is a sign that innovation is needed. A good time to replace Siri. …