According to the latest data released by IDC, Apple encountered a significant decline in global iPhone shipments in the first quarter of 2024 (January to March), with a decrease of 9.6%.
Renowned analyst Ming-Chi Kuo had previously predicted that Apple's annual iPhone shipments for 2024 would be approximately 200 million units, a sharp drop of about 38% compared to the 310 million units in the same period of 2023. It's worth noting that this not only marks the largest decline in iPhone shipments in nearly a decade for Apple but also the first time such a substantial downturn has occurred since 2014, indicating unprecedented challenges to Apple's dominant position in the global smartphone market.
In his in-depth analysis report, Ming-Chi Kuo thoroughly explains the multiple reasons behind Apple's significant decline in shipments. The primary factor lies in the drastic changes in the competition landscape and the impact of technological innovation in the high-end smartphone market. With the widespread adoption of generative artificial intelligence (AI) technology in the mobile sector, along with the growing maturity of foldable screen designs, new types of smartphones such as AI phones and foldable screen phones have emerged, attracting the attention of consumers who seek cutting-edge technology experiences. These products, with their unique selling points and disruptive user experiences, directly compete with Apple's traditional iPhone product line, diverting some of the high-end customer base that originally belonged to Apple.
Particularly noteworthy is the situation in the Chinese market. The strong comeback of the Huawei brand and the hot sales of its foldable smartphone products have significantly shaken Apple's position in the Chinese market.
Kuo points out that for Apple to effectively curb the downward trend in shipments and rejuvenate market confidence, the upcoming new iPhone models this year must achieve significant updates and upgrades.
