Counterpoint: Chinese smartphone sales in the first six weeks of 2024 fell 7% year-on-year.

According to the latest China smartphone weekly sales tracking report released by Counterpoint Research, in the first six weeks of 2024, overall smartphone sales in China decreased by 7% year-on-year, with major manufacturers such as Apple (AAPL.US), OPPO, and vivo all experiencing double-digit declines. Apple's iPhone had a poor sales performance in the first few weeks of this year for several reasons. Mengmeng Zhang, senior analyst at Counterpoint Research, stated that first, it faces intense competition from Huawei's strong comeback in the high-end market, while also being squeezed by aggressive pricing from OPPO, vivo, and other manufacturers. Although the iPhone 15 is an excellent device, it does not have significant upgrades compared to previous versions, so consumers currently do not have the intention to upgrade. It is also important to note that the sales in the first six weeks of 2023 were unusually high, as a result of a large number of delayed upgrade demands from December 2022 being pushed to January 2023, which amplified the negative impact on the year-on-year comparison. Comparison of weekly smartphone sales share and growth in the first six weeks of 2024 vs 2023 in China Data source: Counterpoint Research China Smartphone Weekly Sales Tracking Report Note: 2023 - January 2 to February 12; 2024 - January 1 to February 11; due to rounding, the share of original equipment manufacturers (OEM) may not add up to 100%; OPPO does not include OnePlus phones. The Huawei Mate 60 series continued to attract and satisfy strong market demand, becoming one of the few highlights in the early months of this year. Ivan Lam, senior analyst at Counterpoint Research, stated that consumer confidence needs to rise to stabilize the market, but considering the current circumstances, especially in the real estate sector, this will be a difficult challenge. As for Apple, there is still room for greater recovery in the short term. Active promotional activities this weekend are an example of this. Due to weak consumer spending and fewer new product launches, overall growth in the first quarter of 2024 is expected to remain negative.