After taking first place within the smartphone market within the final quarter of 2023, Apple’s iPhone gross sales have declined, resulting in a major income drop within the first half of the yr.
In accordance with knowledge introduced by Stocklytics.com, Apple’s iPhone gross sales income dropped by $2.7 billion year-over-year, totaling $85.2 billion in H1 2024.
Following a robust efficiency in This autumn 2023, Apple’s iPhone gross sales have confronted a downturn, with income falling by $2.7 billion year-over-year to $85.2 billion in H1 2024, as reported by Stocklytics.com. Intense competitors from Chinese language manufacturers equivalent to Xiaomi and Oppo has pushed this decline. Consequently, the iPhone now represents 46% of Apple’s complete income, down from 48% final yr, reflecting a notable shift from previous years.
Rising Chinese language competitors cuts Apple iPhone gross sales
Because of Apple’s capability to maintain its smartphone aggressive with new releases and updates, the iPhone has been the tech big’s most profitable product since its introduction to the market in 2007, delivering customers with the proper mixture of consumer expertise and standing image enchantment.
Though it stays one of the vital heavyweight gamers within the smartphone market, the rising Chinese language competitors from manufacturers like Xiaomi, Vivo, and Oppo, identified for his or her aggressive pricing and providing high-specification telephones at decrease costs, had a major impression on iPhone gross sales, inflicting it a substantial decline in income and shipments.
Apple’s iPhone income from Q1 2014 to Q3 2024
In accordance with IDC Quarterly Cell Telephone Tracker, the iPhone maker shipped 50.1 million of its smartphones in Q1 2024, 5 million lower than in the identical interval final yr, whereas iPhone gross sales dropped by nearly 10% to $45.9 billion. The dowsing development continued within the second quarter of the yr. Though iPhone shipments rose by a modest 1.5% year-over-year to 45.2 million, quarterly income dropped by $400 million, totaling $39.2 billion, in accordance with Apple’s official knowledge.
The aftermath of two straight quarters of decline was a substantial $2.7 billion income drop. Statistics present the tech big grossed $85.2 billion from iPhone gross sales in H1 2024, down from nearly $88 billion in the identical interval final yr.
iPhone unit shipments as a share of worldwide smartphone shipments additionally declined. The IDC knowledge present Apple claimed a 15.8% market share within the second quarter of 2024, down from 16% in the identical interval final yr. Apple’s largest competitor, Samsung, additionally noticed its market share decline, falling from 20% in Q2 2023 to $18.9% in Q2 2024.
iPhone gross sales now makes roughly 46% of Apple’s complete income, 2% lower than final yr
With the final two quarters bringing a income decline, iPhone’s income share in Apple’s complete income additionally dropped. In accordance with the corporate’s official knowledge, iPhone gross sales made up near 46% of Apple’s complete income within the third quarter of the corporate’s fiscal yr 2024 or 2% lower than in the identical interval final yr.
This additionally represents a major decline in comparison with a interval between 2017 and 2020, when iPhone income share stood between 55% and 60%. The tech big’s different companies, such because the iTunes Retailer and Apple Watch, have seen their income shares rise, rising from roughly 5% in 2017 to almost 30% in Q3 FY 2024.
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