Apple Returns To Top 5 in Chinese Smartphone Sales With iPhone 16, IDC Says

Apple (AAPL) has regained its standing among the top five smartphone sellers in China during the third quarter with the launch of its iPhone 16, the International Data Corp. (IDC) said.

According to IDC, the tech giant’s 15.6% share of the Chinese smartphone market declined from 16.1% a year ago but nevertheless was good for the second-most sales. Chinese firm vivo was the top seller.

Apple fell out of the top five in IDC’s research during the second quarter, as its sales in China struggled in the first half of the year as domestic competitors like Huawei, vivo, and Xiaomi gained ground.

Chinese Smartphone Market Picking Up Despite Slowing Economy

With the launch of the iPhone 16 and flagship brands from competitors, the smartphone market is picking up again despite China’s slowing economy, with IDC noting third-quarter sales rose 3.2% year-over-year to 68.8 million units.

“A significant wave of device upgrades is propelling the sustained recovery of the Chinese smartphone market,” IDC China senior research analyst Arthur Guo said. “Despite ongoing economic challenges, consumers are highly motivated to purchase new smartphones after three years of pent-up demand.”

Apple has yet to include its latest artificial intelligence (AI) features into its new devices in China, a delay that analysts have said could cause the tech giant to lose ground against competitors. Apple Intelligence will be rolled out in English-language devices in coming weeks and in other languages like Spanish and Chinese next year.

Apple Chief Executive Officer (CEO) Tim Cook reportedly was in Beijing this week to meet with government officials and local partners to gain support for Apple Intelligence.

Apple shares were up less than 1% soon after markets opened Friday. They have gained about 20% in 2024.