The smartphone market suffers the largest decline ever in late 2022

IDC’s latest smartphone market report shows us a scenario that will surely put manufacturers on alert. According to this agency, the last quarter of 2022 witnessed the largest contraction ever in this market.

Between October and December 2022 there was a decline 18.3% in shipments of smart phones. An alarming figure, especially considering that this range includes the traditional Black Friday campaigns and the Christmas season.

In the last quarter of 2022, only 300 million smartphones were shipped

The numbers in the new IDC report indicate just over transmission 300 million smartphones in the last three months of 2022. An unprecedented decrease compared to just over 367 million records in the same period in 2021.

This scenario appears to be a result of the inflation that hit global markets last year and the growing concerns about the macroeconomic scenarios. Faced with this reality, it is not surprising that we are seeing more caution on the part of consumers when it comes to spending their money.

For Nabila Popal, Director of Research at IDC, this economic scenario could push the market to recover by the end of 2023. That is, the coming quarters could paint a scenario similar to what is now known by this entity.

Samsung is the only company that has managed to thrive in adversity

Looking at the concrete cases, we see Samsung score both sides of the coin. On the other hand, the South Korean technology company shipped 10 million fewer units at the end of 2022 compared to the same period in 2021.

However, it managed to increase its market share, increasing from 18.8% at the end of 2021 to 19.4%. Despite being second in the global hierarchy, South Korea has managed to increase its advantage over Xiaomi and shorten the distance to its rival Apple.

Speaking of Apple, the company led by Tim Cook appears at the top of this table with a market share of 24.1%. In the period under review, the North American tech company shipped 72.3 million units which, however, marks a decline in the company’s records.

In third place is Xiaomi, which has solidified its presence in the top three in the world. with market share in 11%the Chinese company shipped 11.8 million fewer pieces of equipment compared to the same period in 2021.

In short, this technology market closed out 2022 with nearly 300 million smartphones shipped. Thus, the largest decline recorded by IDC will leave companies on edge for the year that are now taking their first steps.

2023 will be a cautious year for smartphone makers

In view of the misfortunes recorded in 2022, smartphone manufacturers should be more careful in 2023. IDC believes that these companies will reconsider their portfolio, and therefore their production volume.

It is normal for users to start rationalizing their expenses, which leads to lower investment in technology. This means that fewer and fewer will continue to change equipment annually.

By the way, IDC says that users tend to keep the same equipment for 40 months. A scenario driven not only by economic setbacks, but also by the excellent quality of current technological products.

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