India smartphone shipments shrink by nearly 50 per cent in second quarter, Chinese vendors still top in market
- Smartphone shipments in India fell 48 per cent to 17.3 million units in the quarter ending June, according to research firm Canalys
- Four out of five of the top vendors are Chinese companies, with Xiaomi leading the pack, despite a recent backlash against China technology
“Smartphone vendors faced a diabolical situation [in the quarter], dealing with both low supply due to a complete halt in production and diminished demand, as online and offline retailers were prohibited from selling smartphones,” the report said.
Deadly border clash prompts renewed calls in India to boycott Chinese tech
Canalys research analyst Adwait Mardikar said local vendors are driving a “Made in India” message to consumers and eager to position their brands as “India-first”.
However, he added: “Despite the sentiment, the effect on Xiaomi, Oppo, Vivo and Realme is likely to be minimal, as alternatives by Samsung, Nokia, or even Apple are hardly price-competitive.”
01:58
Indians call for boycott of Chinese goods after deadly border clash with China
Among the top 10 vendors in India, global smartphone giant Apple saw its shipments fall by the smallest margin, at 20 per cent year-on-year to just over 250,000 in the second quarter, according to Canalys.
But despite the hit taken by smartphone makers in the current quarter, Canalys analyst Madhumita Chaudhary said there is a “ray of hope” in sight.
“The transition to 5G is the next big opportunity,” Chaudhary said. “[Indian telecommunications company] Jio’s announcement of readiness to deploy 5G, as soon as spectrum is made available, has provided a ray of hope to most vendors who have been beaten by the current pandemic.”
