The smartphone market has had a rough time in the past few quarters, but the worst may finally be behind it, Canalys revealed in its latest report. The annual decline to Q3 2023 is just 1%, though vendors should be wary of a rebound, as geopolitical uncertainty is far from over and companies are still readjusting their sales channels and component inventories.
Samsung is the market leader, followed by Apple. Xiaomi was the world’s third largest smartphone company for Q3, while Transtion, owner of brands Itel, Infinix and Tecno, is now on track to overtake Oppo in global shipments.
Outside of the top 5, Canales revealed that Huawei has made a strong comeback in the past three months with the release of the Mate 60 series; It may be limited to China for now, but carriers and retailers are racing to stock up on Huawei phones to meet growing demand.
According to Amber Liu, Xiaomi and Transtion have been able to capitalize on the rebound in emerging markets. These short-term wins can turn into more sustainable long-term successes, if both companies “play their cards well”.
Canalys analyst Toby Zhu said supply chain costs are expected to rise and smartphone makers are adapting to the changing situation. However, the current increase in component orders combined with supply capacity reduction may lead to component shortages, which will be a challenge for planning and production.
