Samsung and Apple gain India share as budget-phone shipments slump

India smartphone shipments fell 11.1% year-on-year to 33.2 million units in Q2 2026 as memory shortages and higher prices hit entry-level demand. Samsung reached 16.4% share and Apple 8%, while several Chinese OEMs reported shipment declines. Festive demand will hinge on financing and exchange offers.

— Source published Thu, 20 Aug, 2026, 12:50 IST · First seen Thu, 20 Aug, 2026, 12:57 IST · Source Mint · Industry

What happened

Memory-chip shortages and higher handset prices are pressuring India’s budget smartphone market. Chinese OEMs saw shipment declines, while Samsung and Apple

Key facts

  • India smartphone shipments fell 11.1% year-on-year to 33.2 million units in Q2 2026
  • H1 2026 smartphone shipments were 64.2 million units, the lowest first-half volume in five years
  • Vivo shipments declined 13% year-on-year; market share fell from 19% to 18.4%
  • Realme shipments declined 14.2% year-on-year
  • Xiaomi shipments declined 10% year-on-year; market share was 9.7%
  • Oppo shipments declined 8.5% year-on-year; market share was 13.8%
  • Poco, OnePlus and iQOO shipments declined 12.3%, 2.5% and 61%, respectively
  • Sub-$100 (₹10,000) smartphone shipments fell 74.3% year-on-year
  • Samsung market share reached 16.4%, up nearly 200 basis points
  • Apple market share reached 8%, up 100 basis points

Why this matters

Explore partnerships in consumer financing, trade-ins and component supply to capture share as budget-phone demand weakens and the market consolidates.

What to watch

  • Memory spot and contract price trends, and whether OEMs announce additional handset price increases.
  • Festive-period no-cost EMI availability, bank/NBFC approval rates and exchange bonus funding.
  • Monthly channel inventory levels and sell-through for Xiaomi, Vivo, Oppo, Realme and Transsion brands.
  • Samsung and Apple promotional intensity, launch cadence and offline-store expansion.
  • Sub-₹15,000 versus ₹15,000-₹30,000 sell-through, average selling price and financing attachment rates.
  • Rupee movement and import/component-cost changes that affect OEM pricing flexibility.
  • Prioritize inventory and merchandising toward Samsung and Apple models with strong EMI, exchange and accessory-bundle economics.
  • Reduce exposure to entry-level SKUs with limited promotional funding; tighten replenishment until component-cost visibility improves.
  • Negotiate OEM-funded festive offers, especially exchange subsidies and financing subvention, rather than relying on retailer-funded discounts.
  • Expand trade-in partnerships and device-protection bundles to convert deferred buyers and protect gross profit per transaction.
  • Monitor Chinese OEM channel inventory for clearance-led price competition that could disrupt premium and mid-tier sell-through plans.

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