Home Mobile devices Global smartphone sales fell in 4Q2017, says Gartner

Global sales of smartphones to end users fell by 5.6% in the final quarter of 2017 compared to the corresponding quarter in the previous calendar year, the technology research firm Gartner says.

The company said 408 million units were sold in the quarter and marked the first year-on-year decline since it started keeping track of the market in 2004.

In 2017 as a whole, smartphone sales to end users topped 1.5 billion units, an increase of 2.7% from 2016. Huawei, ranked No. 3, raised its share in 2017, continuing to gain on Apple, while the combined market share of Chinese vendors in the top five increased by 4.2 percentage points. The market share of Samsung and Apple was unchanged.

"Two main factors led to the fall in the fourth quarter of 2017," said Anshul Gupta, research director at Gartner.

"First, upgrades from feature phones to smartphones have slowed down due to a lack of quality 'ultra-low-cost' smartphones and users preferring to buy quality feature phones.

gartner table

"Second, replacement smartphone users are choosing quality models and keeping them longer, lengthening the replacement cycle of smartphones.

"Moreover, while demand for high quality, 4G connectivity and better camera features remained strong, high expectations and few incremental benefits during replacement weakened smartphone sales."

Gartner said that while Samsung saw a year-on-year unit decline of 3.6% in the quarter, it still retained its spot as the top global smartphone, while Apple stayed second.

This was despite the beginning of a slowdown of Galaxy S8 and S8+ sales, Gartner said, noting that these two models had helped improve the overall selling price of its smartphones.

Apple's market share was steady in the fourth quarter of 2017 compared to the corresponding quarter in 2016, but iPhone sales fell 5%.

"Apple was in a different position this quarter than it was 12 months before," said Gupta. "It had three new smartphones — the iPhone 8, iPhone 8 Plus and iPhone X — yet its performance in the quarter was overshadowed by two factors.

gartner table two

"First, the later availability of the iPhone X led to slow upgrades to iPhone 8 and 8 Plus, as users waited to try the more-expensive model.

"Second, component shortages and manufacturing capacity constraints preceded a long delivery cycle for the iPhone X, which returned to normal by early December 2017. We expect good demand for the iPhone X to likely bring a delayed sales boost for Apple in the first quarter of 2018."

The Gartner report said Huawei and Xiaomi were the only vendors to achieve year-on-year unit growth (7.6% and 79%, respectively) and increased market share in the quarter. Huawei broadened the appeal of its smartphones with the Mate 10 Lite, Honor 6C Pro and Enjoy 7S.

"Xiaomi's competitive smartphone portfolio, consisting of its Mi and Redmi models, helped accelerate its growth in the emerging Asia/Pacific (APAC) market. It also helped Xiaomi win back lost share in China," the tech research firm said.

"Future growth opportunities for Huawei will reside in winning market share in emerging APAC and the US," said Gupta. "Xiaomi's biggest market outside China is India, where it will continue to see high growth. Increasing sales in Indonesia and other markets in emerging APAC will position Xiaomi as a strong global brand."

47 REASONS TO ATTEND YOW! 2018

With 4 keynotes + 33 talks + 10 in-depth workshops from world-class speakers, YOW! is your chance to learn more about the latest software trends, practices and technologies and interact with many of the people who created them.

Speakers this year include Anita Sengupta (Rocket Scientist and Sr. VP Engineering at Hyperloop One), Brendan Gregg (Sr. Performance Architect Netflix), Jessica Kerr (Developer, Speaker, Writer and Lead Engineer at Atomist) and Kent Beck (Author Extreme Programming, Test Driven Development).

YOW! 2018 is a great place to network with the best and brightest software developers in Australia. You’ll be amazed by the great ideas (and perhaps great talent) you’ll take back to the office!

Register now for YOW! Conference

· Sydney 29-30 November
· Brisbane 3-4 December
· Melbourne 6-7 December

Register now for YOW! Workshops

· Sydney 27-28 November
· Melbourne 4-5 December

REGISTER NOW!

LEARN HOW TO REDUCE YOUR RISK OF A CYBER ATTACK

Australia is a cyber espionage hot spot.

As we automate, script and move to the cloud, more and more businesses are reliant on infrastructure that has the high potential to be exposed to risk.

It only takes one awry email to expose an accounts’ payable process, and for cyber attackers to cost a business thousands of dollars.

In the free white paper ‘6 Steps to Improve your Business Cyber Security’ you’ll learn some simple steps you should be taking to prevent devastating and malicious cyber attacks from destroying your business.

Cyber security can no longer be ignored, in this white paper you’ll learn:

· How does business security get breached?
· What can it cost to get it wrong?
· 6 actionable tips

DOWNLOAD NOW!

Sam Varghese

website statistics

Sam Varghese has been writing for iTWire since 2006, a year after the sitecame into existence. For nearly a decade thereafter, he wrote mostly about free and open source software, based on his own use of this genre of software. Since May 2016, he has been writing across many areas of technology. He has been a journalist for nearly 40 years in India (Indian Express and Deccan Herald), the UAE (Khaleej Times) and Australia (Daily Commercial News (now defunct) and The Age). His personal blog is titled Irregular Expression.

 

Popular News

 

Telecommunications

 

Sponsored News

 

 

 

 

Connect