Canalys: Global Smartphone Shipments Fell 6% in 3Q-2021; Samsung Still #1

According to a new report by market tracker Canalys, global smartphone shipments fell 6 per cent in the third quarter (July-September period) this year, as vendors struggled to meet demand for devices amid component shortages.  That decline comes after shipments increased by 12% in the second quarter of 2021.

  • Samsung was the leading smartphone player with 23 per cent share.
  • Apple regained second place in the global smartphone market with 15 per cent share in the third quarter (Q3) this year, thanks to strong early demand for iPhone 13.
  • Xiaomi took 14 per cent share for the third place, while Vivo and Oppo completed the top five with 10 per cent share each.

“The chipset famine has truly arrived,” said Canalys Principal Analyst, Ben Stanton. “The smartphone industry is striving to maximize production of devices as best it can. On the supply side, chipset manufacturers are increasing prices to disincentivize over-ordering, in an attempt to close the gap between demand and supply. But despite this, shortages will not ease until well into 2022. As a result of this, as well as high costs of global freight, smartphone brands have reluctantly pushed up device retail pricing.”

“At the local level, smartphone vendors are also having to implement last-minute changes in device specification and order quantities. It is critical for them to do this and maximize volume capacity, but unfortunately it does lead to confusion and inefficiency when communicating with retail and distributor channels,” continued Stanton. “Many channels are nervous heading into important sales holidays, such as Singles’ Day in China, and Black Friday in the west. Channel inventories of smartphones are already running low, and as more customers start to anticipate these sales cycles, the impending wave of demand will be impossible to fulfill. Customers should expect smartphone discounting this year to be less aggressive. But to avoid customer disappointment, smartphone brands which are constrained on margin should look to bundle other devices, such as wearables and IoT, to create good incentives for customers.”

References:

https://www.canalys.com/newsroom/canalys-global-smartphone-market-Q3-2021

Canalys 2Q-2021 smartphone rankings show big gains for Xiaomi and OPPO

Canalys 2Q-2021 smartphone rankings show big gains for Xiaomi and OPPO

Telecom, IT and cloud market research firm Canalys, said that global smartphone shipments increased by 12% in the second quarter of 2021.   Samsung still maintains its position as the world’s number one with a market share of 19%. Xiaomi’s mobile phone sales surpassed Apple’s and rose to the second place in the world for the first time, with a share of 17%. Apple ranked third with 14%. OPPO and Vivo ranked fourth and fifth in the world, with a market share of 10%.

Xiaomi’s growth rate is as high as 83%, making it the top five mobile phone brand with the fastest growth rate in market share.  Lei Jun, the founder and CEO of Xiaomi, sent three consecutive Weibo messages to express his congratulations to Xiaomi, and at the same time released the “Open Letter to Xiaomi Students.” Lei Jun said that Xiaomi’s becoming the second ranked global smartphone vendor is a major milestone in the history of Xiaomi’s development.

In the third quarter of 2014, Xiaomi entered the top three in the world for the first time, and then encountered huge difficulties, and soon fell out of the top five in the world. In 2020, the launch of Xiaomi Mi 10 series will fully launch the development of Xiaomi mobile phones. In the high-end journey, in the third quarter of the same year, Xiaomi returned to the third place in the world. Only two quarters later, Xiaomi was promoted to the second place in the world.

Lei Jun also said that “the second in the world” is a major victory for Xiaomi’s strategy. In August last year, Xiaomi established its core strategy for the next ten years-mobile phone X AIoT, once again clarifying the core position of the smartphone business, progressing to promote intelligent interconnection, and the AIoT business will build a smart life around the core business of mobile phones. At the same time, it has established the “three iron laws” that will never change: technology-oriented, cost-effectiveness-oriented, and making the coolest products.

About Xiaomi:

Xiaomi is an electronics company based in Beijing, China.  It was founded by Lei Jun in April 2010, and in 2014, Xiaomi was the largest smartphone company in China. Today, Xiaomi is one of the top five smartphone vendors in the world.

The “MI” in their logo stands for “Mobile Internet.” It also has other meanings, including “Mission Impossible”, because Xiaomi faced many challenges that had seemed impossible to defy in our early days.

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Meanwhile, Canalys said that OPPO ranked first among Android smartphone manufacturers.  In addition to launching 5G phones in the full price range to meet the different needs of consumers, OPPO has been actively taking the lead in applying new technologies to its latest models.

Canalys wrote that in Middle East and Africa, OPPO has climbed to fourth place in market share with a 106% year-on-year growth. The United Arab Emirates and Saudi Arabia have been at the forefront of this rise, witnessing a 196% and a 218% year-on-year growth respectively which was attributed to OPPO’s innovative product offering and strong customer service. In addition, OPPO saw a year-on-year growth of 79% in Egypt.

Ethan Xue, President of OPPO MEA said, “We are proud to see our innovative products and customer-centric approach being well received and reflected in these promising figures. Our growth in the MENA region is phenomenal and illustrates the strong customer base we have that support us and understand our brand mission, technology for mankindkindness for the world. At OPPO, we continue to push the boundaries and our growth only serves to motivate us even more to offer our customers the best possible products at competitive prices.”

The main proponent of the brands growth is strong product launches that closely align with the evolving demands of smartphone users. Earlier this month, OPPO launched the anticipated Reno6 series, comprising of three variations, the Reno6 Pro 5GReno6 5G, and the Reno6 Z 5G that have all been masterfully designed for trendsetting individuals, game enthusiasts and the young at heart. From stunning design details to powerful features, the Reno6 series is already proving to be popular in the region, with a 300% pre-order increase compared to its predecessor, solidifying the demand for the technology brand in MENA.

About OPPO:

OPPO is headquartered in Dongguan, China an has been a leading global technology brand since 2004, dedicated to providing products that seamlessly combines art and innovative technology.

OPPO says they’re on a mission to building a multiple-access smart device ecosystem for the era of intelligent connectivity. The smartphone devices have simply been a gateway for OPPO to deliver a diverse portfolio of smart and frontier technologies in hardware, software and system. In 2019, OPPO launched a $7 Billion US Dollar three-year investment plan in R&D to develop core technologies furthering design through technology.

For the last 10 years, OPPO has focused on manufacturing smartphones with camera capabilities that are second to none. OPPO launched the first mobile phone, the Smile Phone, in 2008, which marked the launch of the brand’s epic journey in exploring and pioneering extraordinary technology. Over the years, OPPO has built a tradition of being number one, which became a reality through inventing the world’s first rotating camera smartphone way back in 2013, launching the world’s then thinnest smartphone in 2014, being the first to introduce 5X Zoom ‘Periscope’ camera technology and developing the first 5G commercial smartphone in Europe.

OPPO is currently ranked as the number four smartphone brand globally. OPPO brings the aesthetics of technology of global consumers through the ColorOS system Experience, and Internet service like OPPO Cloud and OPPO+.

OPPO’s business covers 40 countries with over six research institutes and five R&D centers across the world, from San Francisco to Shenzhen. OPPO also opened an International Design Centre headquartered in London, driving cutting edge technology that will shape the future not only for smartphones but for intelligent connectivity.

References:

https://min.news/en/tech/5f2410bda155bbec25c819b98c454623.html

https://www.prnewswire.com/news-releases/oppo-ranked-first-in-global-5g-smartphone-shipments-among-android-manufacturers-301391332.html

NEW for 3Q2021 Rankings:

https://techblog.comsoc.org/2021/10/16/canalys-global-smartphone-shipments-fell-6-in-3q-2021-samsung-still-1/