After two difficult years, the smartphone market is finally returning to growth in 2024, according to data recently published by Counterpoint Research. In fact, last year, global shipments increased by 4%. This growth is attributed to an improvement in the macroeconomic situation, which incentivized consumers. “2024 was a year of recovery and normalization after a difficult 2023. Smartphones remain an essential product, pivotal to people’s daily lives, and, as macroeconomic pressures have eased, the market began to show signs of recovery from the fourth quarter of 2023 and has now grown for five consecutive quarters. Almost all markets showed growth, with Europe, China and Latin America leading the way,” comments Tarun Pathak, research director.
Samsung was number 1 in 2024, with a 19% market share. Counterpoint reports that the Galaxy S24 series and Galaxy A have sold well. At the second plus, there is Apple. Indeed, despite the mixed reception of the iPhone 16, Apple has seen good growth in markets like Latin America. However, the brand that stands out in 2024 is Xiaomi. In 2024, according to Counterpoint data, the brand saw 12% growth in shipments. This is the strongest growth in the Top 5 of the smartphone market. According to Counterpoint’s explanations, this performance is attributed to the readjustment of Xiaomi’s offering, to its high-end products, but also to the expansion of the manufacturer.
AI on smartphones hasn’t really taken off yet
This year, we have heard a lot about artificial intelligence for smartphones. Samsung has equipped its high-end models with Galaxy AI, a series of features based on generative AI. And in October, Apple began rolling out Apple Intelligence to compatible models. Other brands are following suit, offering similar features on their recent models. But for the moment, according to Counterpoint’s explanations, these features are still exclusive to premium smartphones. However, little by little, AI will arrive on more affordable smartphones. Counterpoint predicts that by 2028, generative AI will be present in 9 out of 10 models priced over $250.
Otherwise, for 2025, the company predicts continued premiumization of the market, meaning that OEM revenues will grow faster than shipping volume. Moreover, in 2024, according to Counterpoint, sales of “ultra-premium” models, priced at more than $1,000, have increased significantly. “This development has been made possible by device subsidies in developed markets and easy access to low-cost financing in emerging markets,” the report said. But, despite the growth that is expected in 2025, the smartphone market is not expected to reach the high levels seen before the COVID-19 crisis.
- Counterpoint releases report on smartphone shipments in 2024, cites 4% growth
- The brand that stands out is Xiaomi: it is number 3 in the world, but its growth was 12%.
- For 2025, Counterpoint predicts continued premiumization of the market, which will increase manufacturers’ revenues
- Despite forecasted growth, the smartphone market will not reach pre-COVID-19 volumes
