Global Smartphone Market Sees Modest Growth Despite Tariff Concerns, Apple Logs Highest Revenue Surge In Q1

Counterpoint’s Market Monitor service revealed that average selling prices (ASP) rose marginally by 1 per cent in first quarter of 2025 compared to the same period last year, reaching $364.

According to the report, original equipment manufacturers (OEMs) took proactive steps to shield themselves from potential disruptions by strategically stocking inventory ahead of time.

Source : Freepik

The worldwide smartphone industry recorded a 3 per cent year-on-year increase in revenue during the first quarter of 2025, according to fresh insights from Counterpoint’s Market Monitor service.

Average selling prices (ASP) rose marginally by 1 per cent compared to the same period last year, reaching $364, reported IANS.

The growth came in the face of persistent tariff-related uncertainties. According to the report, original equipment manufacturers (OEMs) took proactive steps to shield themselves from potential disruptions by strategically stocking inventory ahead of time. This tactical response allowed the market to preserve its momentum during a challenging period.

Apple and Emerging Brands Propel Premium Shift

Senior analyst Shilpi Jain noted that while the market's growth was modest, it reflected a broader transformation underway in the smartphone sector. “The global smartphone market saw modest expansion driven by strategic shifts in production and the growing adoption of artificial intelligence (AI) capabilities,” she said.

Although Apple experienced a 9 per cent year-on-year drop in iPhone ASPs, it still posted the highest revenue growth among the top five brands, thanks to a 12 per cent jump in shipments. The newly launched iPhone 16e contributed significantly to this rise. “It proved to be a smart move and helped Apple’s quarter,” said research director Jeff Fieldhack, highlighting how the device boosted volumes while exerting downward pressure on pricing.

Other players outside the top five—including Google, Motorola, and Huawei—also contributed meaningfully to the revenue uptick. Their success underlined a rising capacity to deliver higher-value products and reflected a strengthening trend toward premiumisation, Jain added.

Samsung and vivo Show Mixed Outcomes

Samsung remained the shipment leader globally, but the brand's revenue took a hit as its ASP declined 7 per cent year-on-year due to a growing presence of budget-friendly models in its portfolio.

Meanwhile, vivo showed resilience by improving its revenue performance, largely on the back of strong results in key markets such as India, according to the report.

Looking ahead, the research firm warned of potential challenges for the remainder of the year. “We expect the global smartphone market to decline slightly in 2025 as consumer sentiments and macroeconomic indicators take a dip due to tariff-related market and supply chain uncertainties,” the report stated.