Apple (NASDAQ:AAPL) slips fractionally in premarket trading after losing its top spot in China’s smartphone market in 2024. Local brands Vivo and Huawei move ahead as Apple’s shipments drop 17% to 42.9 million units, bringing its market share down to 15%, according to Canalys.
Vivo takes the lead with 49.3 million units shipped, gaining 17% market share after an 11% increase in sales. Huawei follows closely, shipping 46 million units, a 37% surge from 2023, regaining ground despite U.S. restrictions limiting its chip supply. China’s smartphone market rebounds, shipping 285 million units in 2024, growing 4% year-over-year after two years of declines. Analysts point to affordable premium designs, in-house chips, and foldable phone innovations as key drivers.
Oppo and Honor complete the top five smartphone makers in China.Moreover, Apple’s struggles come amid increased competition from local brands offering advanced AI features and custom operating systems. The shift highlights China’s growing preference for homegrown technology over foreign brands.
This article first appeared on GuruFocus.
