Canalys, a leading market research firm, recently released alarming statistics for the North American smartphone market in Q2 2023, characterizing it as the “most dismal quarterly performance in over ten years.”
The figures reveal a staggering 22 percent decline compared to the same quarter in the previous year. Canalys has forecasted a concerning 12 percent downturn for the entire year of 2023.
Both 2022 and 2023 have proven to be challenging years for smartphone sales, witnessing declines of 9 and an anticipated 12 percent, respectively. However, Canalys anticipates a slight recovery in 2024, projecting a 3 percent increase in the smartphone market.
Apple Records 20% Decrease in Q2 2023; But Maintains Dominance
Within this slump, Apple, a giant in the smartphone industry, experienced a significant 20 percent decrease in Q2, yet maintained a dominant position with an impressive 54 percent market share.
Samsung, securing the second position, encountered a sharp 27 percent decline, holding a 24 percent market share during Q2 2023. Following closely is Motorola, which saw a 25 percent drop, securing only an 8 percent market share.
Surprisingly, TCL, primarily known for its TV products and briefly involved in smartphones, suffered the largest setback, plummeting by 30 percent and holding a mere 5 percent market share.
Google Records 59% Increase in Pixel Sales; Only Company To Maintain Its Sales
Interestingly, Google emerged as the sole company to endure this quarter unscathed. Despite being at the lower end of the smartphone charts, Google witnessed a remarkable 59 percent increase in Pixel phone sales, enabling them to grasp 4 percent of the market.
This trend is reminiscent of the previous year, where Google leaped from a 1 to a 2 percent market share. With the current growth rate, the company may soon secure the fourth position in the market.
One notable highlight from the chart is the “others” category, which saw a significant 43 percent decline, likely indicating further consolidation within the Android market. Brands like OnePlus, HMD/Nokia, and budget-focused vendors like Blu are likely encompassed in this category.
Canalys suggests that the low-end market is struggling due to diminishing prepaid demand. Notably, the average sell price has risen from $663 to $738 year over year, indicating a surge in premium phone sales while budget vendors face increased challenges. Despite the overall market losses, Canalys reports a notable 25% and 23% growth in premium segment shipments for Apple and Samsung, respectively, during Q2 2023.
