Monday, November 1, 2021

Apple nudges Xiaomi off second position on global smartphone makers list

Apple has reclaimed the position it once lost to the Chinese smartphone maker Xiaomi in global shipments. As per the figures shared by IDC (International Data Corporation), Apple regained the second spot by shipping 50.4 million units in the third quarter, more than Xiaomi which got relegated to the third spot with 44.3 million global shipments. 

Apple now enjoys a 15.2% market share and booked 20.8% year-over-year growth. In comparison, Xiaomi registered a 4.6% decline in 3Q of 2021, but it has managed to grab an overall good chunk of the market with a 13.4% share, surpassing others on the list. 

Just so you know, Xiaomi managed to take over the 2nd place by sweeping Apple into the third position during the second quarter. Analyst firm Canalys reported in July 2021 that, Xiaomi took 17% market share and booked 83% year-over-year growth for itself. 

Among the other players, Samsung retained its top spot with 69 million shipments and a market share of 20.8%. Vivo and Oppo together stood fourth on the list of global smartphone shipments in the third quarter of 2021. 

Apple's gain is Xiaomi's loss

Apple may have benefitted from a less-than-enthusiastic reception to Xiaomi's flagship in some geographies while the company saw an increase in the sale of its iPhones during the third quarter. The delay in the launch of the iPhone 13 series as well as the price drops on earlier models might have contributed to the spike in shipments for the company.  

Smartphone vendors shipped a total of 331.2 million units during the quarter, a slight decline from the last quarter as the vendors struggled to meet the demand for devices amid component shortages. 

As IDC reports, the supply chain and component shortage issues have played a big role in altering the positions. For a long time, it was assumed that the smartphone market was immune to this issue despite many adjacent industries being impacted. But, the issues have finally caught up in the smartphone market. 

The IDC report also suggested that the shortages are affecting all vendors alike but clearly, some companies faced the brunt of the supply chain disruption compared to the others.  

The report further mentions that there are a lot of other factors that are limiting the rate of growth. For instance, stricter testing and quarantining policies contributed to major delays. Moreover, there are industry manufacturing and logistical challenges to deal with as well, which the IDC believes, would result in persistent supply-side for the early part of next year.

However, it was not all southward bound for Xiaomi. The company set itself a new goal of overtaking Samsung at the top of the pecking order. Canalys reported that Xiaomi wants to displace Samsung to become the world’s largest vendor and do so at the earliest. Perhaps, Xiaomi’s bullish plans got hit by unprecedented events related to the processor shortages. 

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