Apple Achieves Record Smartphone Revenue Amidst Market Competition
Recent data from renowned market research entity Counterpoint Research reveals that Apple has achieved a remarkable milestone, capturing 50% of the global smartphone revenue during the third quarter—marking the company’s highest recorded share to date.
In contrast, Samsung secured the second position with a revenue market share of 19%. The remaining places in the top five were occupied by Xiaomi (6%), Oppo (5%), and Vivo (4%).
Apple’s Revenue Growth
For Apple, third-quarter revenue in the current fiscal year surged by 17% compared to the analogous period last year. Analysts attribute this growth to the sustained demand for the iPhone 17 series, alongside the favorable reception of the iPhone 18 Pro.
Tarun Pathak, research director at Counterpoint Research, posits that Apple enjoys a significant pricing advantage that enables the company to transfer additional costs to consumers without undermining demand. This exceptional resilience to market fluctuations solidifies Apple’s standing.
Furthermore, Apple achieved a new pinnacle as the average selling price (ASP) of iPhones in the third quarter soared to an unprecedented high of $1,031, representing a 19% increase year-on-year.
Factors Influencing ASP Growth
“The uptick in ASP can be attributed, in part, to the elevated starting price of the iPhone 18 Pro. Additionally, the absence of the standard iPhone 18’s launch in September, coupled with price adjustments on older models, collectively propelled Apple’s revenue in an increasingly challenging market,” Pathak remarked.
In a similar vein, Samsung’s revenue also witnessed a commendable rise of 14% year-over-year, with its ASP escalating by 21% to $367.
This growth is largely the result of price adjustments on select Galaxy A models, alongside strong sales performances of devices like the Galaxy S26 Ultra and Z Fold8.
Xiaomi also observed double-digit growth in ASP, attributable to price hikes and a strategic focus on mid-range and upper-mid-range segments, moving away from budget offerings. Notably, the Redmi Note 15 and Xiaomi 17T series were significant contributions to revenue in key markets.
Challenges for Oppo and Vivo
In stark contrast, Oppo and Vivo experienced revenue declines of 26% and 22% respectively in the third quarter when compared to the previous year.
According to Counterpoint Research, both companies have curtailed operations in non-core markets, prioritizing their flagship product lines to bolster brand positioning and enhance revenue streams.
Market Overview
Overall, the smartphone market’s revenue reached $114 billion in the third quarter, marking a 3% increase from the same quarter last year. The 27% rise in average selling price (ASP), now at $442, has played a pivotal role in mitigating the decline in sales volume.
As analyst Shilpi Jain from Counterpoint Research articulated, “With escalating memory costs exerting pressure on profit margins, original equipment manufacturers must elevate prices, reduce less efficient offerings, and concentrate on flagship models within strategic markets.”
Future Predictions
Jain further indicates that manufacturers will need to not only sustain production levels but also safeguard profit margins while ensuring their products remain competitively priced.
Looking ahead to the fourth quarter, analysts forecast a downward trend in revenue as the decline in sales volume is anticipated to outpace the increase in ASP.
By 2027, rising component costs are projected to continue straining profit margins, necessitating further price increments across offerings.
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