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Samsung's smartphone share hit by Note7 debacle, stiff competition

John Ribeiro | Oct. 28, 2016
The smartphone market grew by 6 percent in the third quarter, said Strategy Analytics

“The other factor is the overall slowing smartphone market which is affecting most smartphone players, including Apple,” Chau said. Brands like Huawei and other regional brands have also been getting better at positioning themselves to cannibalize Samsung's mid to lower-tier offerings, she added.

Rival Apple also lost market share to 12.1 percent from 13.6 percent in the quarter as shipments dropped to 45.5 million units from 48 million units in the same quarter a year ago, according to Strategy Analytics. “Apple has been given a slight boost by Samsung’s Note 7 missteps, but it continues to face iPhone fatigue among many consumers in major regions such as China and Europe,” Mawston said.

In the event, it were the Chinese vendors who picked up the slack with high growth. Shipments of smartphones by third-ranking Huawei increased year-on-year by nearly 26 percent to 33.6 million units. Oppo, the fourth largest vendor in the quarter, grew smartphone shipments by 140 percent year-on-year to 21.6 million units, while Vivo’s shipments grew by almost 87 percent to 18.3 million smartphones, Strategy Analytics said.

IDC reported a lower worldwide growth at 1 percent in smartphone shipments in the third quarter. It also reported declining shipments and market share for Samsung and Apple. Total worldwide shipments were nearly 363 million in the quarter, according to the research firm.

 

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