Smartphone shipments in the US declined by 19 per cent in the third quarter (Q3) of 2023, says a new report. The brands that witnessed the steepest decline were Samsung, Google and TCL. Samsung, Google and TCL saw decline of 26 per cent, 37 per cent, and 51 per cent, respectively. Brands such as Lenovo-owned Motorola and Nokia HMD grew their shipments by 31 per cent and 17 per cent, as compared to the same period last year, says a report by Counterpoint Research.
iPhone maker Apple witnessed an 11 per cent decrease in shipments in the US, as compared to Q3 2022, partly due to the delayed release of the new iPhone 15 series, leading to some shipments being moved to Q4 2023, the Counterpoint Research report noted.
However, amid a declining overall market, foldables are a potential bright spot in the US smartphone market. The options in foldable devices from Android smartphone OEMs are growing.
“While upgrade rates were slightly up at the carriers when compared to last quarter, they remained much below their usual levels as consumers opted to hold on to their devices for longer instead of upgrading,” Matthew Orf, Research Analyst at Counterpoint Research, said in a statement.
“Samsung launched its Galaxy Z Flip and Fold 5 in August, while OnePlus launched its first foldable and Motorola launched the sub-$900 Motorola Raz 2023 in early Q4 2023,” said Maurice Klaehne, Senior Research Analyst at the market intelligence firm.
It should be noted that despite consistent strong promotional offers from network carriers throughout the quarter, the upgrade rates remained close to all-time lows.
Counterpoint Research predicts demand to rebound in Q4.
“We expect a seasonal rebound in upgrade rates during the fourth quarter, but they are likely to remain lower than in the same period last year. There is a large installed base of iPhone 11 and iPhone 12 users in the US that is likely to upgrade to the iPhone 15 series this year,” said Jeff Fieldhack, Research Director at Counterpoint.