Home - - Research Firm Reveals Global Smartphone Sales Declined for the First Time in Q4 2017

Research Firm Reveals Global Smartphone Sales Declined for the First Time in Q4 2017

It's finally happened-- smartphone sales have reached a decline. As what research firm Gartner revealed today, smartphone sales in Q4 2017 dropped 5.6% from the previous year.

And even though Apple and Samsung continue to dominate the number of smartphones sold, it's impressive to note that these two companies have also experienced a decline in annual sales. In the last quarter of the year, Apple dropped around 5% while Samsung decreased around 3.6% in sales.

The slowdown of sales in Q4 can be attributed to the aging of the Galaxy S8 and S8+, especially since the S9 is getting ready to make its debut at next week's Mobile World Congress event in Barcelona. As for Apple, the slowdown can be linked to the confusion customers experienced over the three latest iPhone models-- the X, 8 and 8 Plus. Not to mention, there was a problem with the supply of the iPhone X.

More importantly, however, it's become a saturated market for smartphones. Almost every single human being already owns a smartphone. And with smartphones becoming more competent, there is little reason to upgrade to a newer smartphone; except if there really was a problem with the device. Many of the smartphones being released today manage to go beyond the two-year upgrade period standard.

Gartner's data revealed positive signs for the smartphone industry and for two specific companies. Even though there was a decline in smartphone sales during Q4, the overall sales for the year increased by 2.7% compared to the previous year's. In fact, there was over 1.5 billion phones sold throughout the world.

As for the two companies that grew during the Q4, the recognition belongs to two Chinese brands-- Xiaomi and Huawei, which both increased 7.9% and 7.6%, respectively.

The overall marketshare and sales rankings between 2016 and 2017 remained the same. This can be attributed to Samsung who received an increase in market share to 20.9% from 20.5%. Apple, on the other hand, declined from 14.4% to 14%. The third spot belonged to Huawei, which received an increase to 9.8% from 8.9%. Lastly, OPPO increased from 5.7% to 7.3%.

When it comes to the other smartphone manufacturers (LG, HTC, OnePlus, Sony, Lenovo/Motorola, HTC, and Essential), the research firm did not reveal specific rankings but grouped these manufacturers together as "others." Surprisingly, Google was also included in the "others" list even though it was believed to have sold 3.9 million Pixel units in 2017.

Despite it not being included in the list, Google earns recognition for its Android software as the dominant platform in worldwide usage. The study revealed Android dominated 85.9% of the market while only 14% of users are on iOS.

You can read the full study here.

Source: Android Police



Comment Page :
  1. Due to customer confusion pertaining to Apple's slight decline? ??

  2. Apple - Iphone pricing up and up. Maybe the sky is not the limit.

  3. The lowest priced smartphone is the $20 - $30 ZTE Majesty Pro and it can do all of the functions that the $800+ phones can do but at lower speeds and resolutions. That is why smartphone sales have declined, they have declined in $$

    1. Gartner is reporting a decline in unit sales. While $ sales have likely declined as well, fewer smartphones were sold in Q4 2017 than in Q4, 2016.

  4. Gartner report seems to run contrary to Apple quarterly earnings report where they reported decline in units but the quarter also had one week less. If normalized to same quarter length there was no decline.


  5. Sample got greedy and jacked up prices, all for a modest boost to performance and an updated yet unnecessary form factor.

    Meanwhile, upgrading your phone won't solve the lack of infrastructure upgrades to increasingly burdened networks, so there's no connectivity incentive either.

    In other words, your new phone will be just like your old one, except you'll have paid around $1000 for something you didn't really need or want.

    This is the problem with carriers dragging their feet, as the only thing that can still sell phones is the promise of faster data speeds exclusively for early adopters of a new technology.

    Without better real world speed and coverage both outdoors AND inside more places than just your home, there's just no pressing rush to upgrade until 5G comes out.

  6. Despite the decline in Q4 2017, if phone sales increased 2.7% in 2017 compared to 2016 doesn't that mean sales actually went up?

  7. Total sales for 21017 were higher than than total sales for 2016.
    4th quarter 2017 sales were lower than 4th quarter 2016 sales.

    The significance is that the decline in the latest quarter suggests that sales may have peaked. If the trend continues, full year 2018 sales will be lower than full year 2017 sales.

  8. Won't be declining for long imo..there is a whole new generation of smart phone buyers ready for their first phone in the next few years.

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