Following the iPhone 16's release, robust sales reports have emerged from China and Taiwan, with market analysts anticipating continued growth driven by upcoming e-commerce holiday promotions and Apple's price adjustments.
iPhone surge across the strait
Mobile channel operators reported that after pre-orders commenced on September 13, Taiwan's mobile phone shipments jumped from nearly 350,000 units in August to almost 460,000 units in September, despite having less than a month of sales data. This surge has propelled Apple back to market leadership with a 42% share, overtaking Samsung Electronics.
Notably, the generative AI feature in the iPhone 16's non-English version won't be available until 2025. This led to speculations that this delay might hurt sales in non-English-speaking countries. However, research institutions have found that sales of the iPhone 16 in China have increased by over 20% compared to the same period in 2023 instead, thanks to the strong sales of the iPhone 16 Pro and Pro Max.
Looking ahead, aside from entering the traditional peak season for mobile phone sales, the upcoming holiday season promotions in China, Europe, and the US will further support sales. Additionally, recent significant price cuts on the iPhone 16 during the Double Eleven period are anticipated to positively influence overall sales figures.
It is noteworthy that while the iPhone 16 has helped Apple increase its market share in Taiwan from 24% in August back up to 42% in September, this still lags behind the 47% market share seen in the same period last year. This indicates that the allure of the iPhone may have faded somewhat. The ability to rely on hardware innovation and expedite the release timeline for the Chinese version of genAI will be crucial factors in sustaining the sales performance of the iPhone 16.
Pressure from Chinese competition
Moreover, Apple continues to face significant challenges in the Chinese market. Competition from companies like Xiaomi, Oppo, and Vivo in the premium smartphone segment is intensifying. Huawei has announced that the number of devices supporting its self-developed HarmonyOS has surpassed 1 billion, with 6.75 million registered developers and over 15,000 applications and services already launched.
As Huawei officially unveils its native HarmonyOS NEXT, it is expected to bolster sales efforts for its Mate 70 flagship model set to launch in November. It remains to be seen how much this will suppress iPhone sales.
