Apple’s China sales plunge by a quarter in first 6 weeks as resurgent Huawei steals the show, according to Counterpoint

Apple’s iPhone sales in China fell by nearly a quarter in the first six weeks of 2024 year on year, in the latest sign that the US smartphone giant is losing more ground in the country to a resurgent Huawei Technologies, according to data from Counterpoint Research.

Overall smartphone sales fell 7 per cent year on year in the first six weeks of 2024, with Chinese brands Oppo and Vivo experiencing sales declines of 29 per cent and 15 per cent respectively, according to Counterpoint.

Apple’s iPhone sales fell 24 per cent over the period, giving it 15.7 per cent of the Chinese market and ranking the US firm fourth after Vivo, Huawei, and Honor. Counterpoint said “fierce competition” and an “unusually high sales base in January 2023” were the main reasons behind the decline in iPhone sales.

Huawei was the biggest winner in the period, with the Shenzhen-based giant achieving a 64 per cent jump in sales, giving it 16.5 per cent of the market. Honor, the smartphone brand spun off from Huawei in 2020, saw a 2 per cent increase in sales, giving it 16.3 per cent of the China market.

Apple dealers slash iPhone prices in China, as Huawei lures away buyers

Some analysts say Apple has been slow to adopt generative artificial intelligence (AI) tools into its devices compared with domestic brands, as competition intensifies in the high-end market segment.

Xiaomi, which has 13.8 per cent of the Chinese handset market, recently launched its flagship photography-focused smartphone, the Xiaomi 14 Ultra, into the luxury segment with prices starting from 6,499 yuan (US$903).

Honor showcased its Magic6 Pro with AI features at MWC Barcelona 2024. The Magic Portal function uses AI to understand user behaviour and streamline tasks, such as direction requests in map apps.