The iPhone’s market share dropped from second to fourth place globally in the second quarter of 2021, according to a report by market research firm TrendForce. The significant drop in market share, when compared to the first quarter of 2021, is a result of a decline in iPhone production. It also comes just ahead of the iPhone 13 launch, which is slated to take place later this month. With the iPhone dropping to No. 4, Samsung, Oppo and Xiaomi have managed to occupy the top three spots in the global market, the company said.
According to data shared by TrendForce, the iPhone’s market share dropped to 13.7 percent in the second quarter. The company said total quarterly iPhone production fell 22.2 percent for the quarter to 42 million units. The drop in production was due to the fact that Q2 is the transition period between last year’s iPhone series and this year’s.
It is also believed that Apple will continue to have an adverse impact on the production of its devices in the second half of 2021 because of the recent increase in COVID-19 cases in Malaysia and due to the ongoing chipset as well as component shortages.
However, the iPhone lineup is expected to see some improvements and reach No. 2 in the third quarter. TrendForce also reported last month that Apple would keep the price of its iPhone 13 series at the same level as the iPhone 12 models to attract some customers.
In its latest report, TrendForce mentioned that overall global smartphone production dropped 11% from the previous quarter in Q2, to 307 million units. A year-over-year comparison, however, shows an increase of about 10 percent for the quarter.
The company also noted that global production in the first half of the year reached a total of 652 million units, with an 18% growth rate compared to the first half.
Samsung maintained the number one spot in quarterly and annual production in the second quarter. It hit the production mark of 58.5 million units, although its share dropped 23.5 percent in the quarter, TrendForce said.
After Samsung, Oppo was second in the quarter. The Chinese company’s output, which comprises data from its Realme and Oppo subbrands, declined 6.6 percent in the quarter to 49.5 million units.
Xiaomi took third place with its smartphone production, which reached 49.5 million units in the second quarter. Production data includes devices from Redmi, Poco and Black Shark, along with Mi models that dropped to 2% in the quarter.
Fifth position was occupied by Vivo in the second quarter which also faced an 8.1 percent quarter-over-quarter drop in its production in the quarter to 34 million units that also include iQoo devices.
TrendForce said the recent increase of COVID-19 in India affected the production and sales performance of Oppo, Xiaomi and Vivo in the second quarter.
The TrendForce report also noted that although LG exited the market in April, it produced 9.4 million units this year and had a market share of one percent. The closing of LG’s mobile phone business could help Samsung, Lenovo and other brands in North America expand their presence, while Lenovo and Xiaomi are expected to be the two main beneficiaries of the exit in Latin America, the company said.
TrendForce also corrected its previous annual estimate of 1.36 billion units with an 8.5 percent annual growth rate to the current version of 1.345 billion units with a 7.3 percent annual growth in 2021.
“In the future, one of the two main focuses of observation will be whether the pandemic will cause a further decline in smartphone sales. For example, while Europe and the United States are experiencing a resurgence of infections, Southeast Asian countries have also been unable to control the most recent outbreaks. In addition, the pandemic continues to pose a risk to the smartphone supply chain,” the company said.