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Samsung and Apple gain India share as budget-phone shipments slump
Our read
India's smartphone market is likely to shrink in units but rise in value as financing and trade-ins shift festive demand toward Samsung and Apple-led premium and mid-tier purchases.
For operators
Use financing and exchange offers to defend entry-level demand as higher prices and memory shortages squeeze India smartphone volumes.
Watch
Memory spot and contract price trends, and whether OEMs announce additional handset price increases.
The report,
Memory-chip shortages and higher handset prices are pressuring India’s budget smartphone market. Chinese OEMs saw shipment declines, while Samsung and Apple gained share. IDC expects festive-season demand to depend on financing, exchange offers and affordability schemes.
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Reported figures
From the report. Source details below
| India smartphone shipments fell 11.1% year-on-year to 33.2 million units in Q2 | 2026 |
|---|---|
| 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% |
| 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 |
Also in the report
- H1 2026 smartphone shipments were 64.2 million units, the lowest first-half volume in five years
- Poco, OnePlus and iQOO shipments declined 12.3%, 2.5% and 61%, respectively
Why it matters to operators
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 next
- 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.
Likely next moves
Our read of what comes next — analysis, not reported by the source.
- 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.
The counter-case
The case against this reading — not reported by the source.
Samsung’s and Apple’s share gains may be a defensive mix effect rather than evidence of broad demand strength: if entry-level volumes collapse, premium brands can gain percentage share even as their own unit growth is weak or inventory-led. Higher memory costs and pricing pressure could ultimately compress margins, reduce promotional flexibility, and widen the addressable-market problem in a price-sensitive market. Festive financing and exchange offers may pull demand forward rather than create sustainable recovery.
The source
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