Apple Inc. (AAPL) Smartphone Market Share Continues To Shrink

Updated on

Apple Inc. (NASDAQ:AAPL) recorded strong sales during the holiday season, especially due to the release of the iPhone 5S and 5C. Despite growing iPhone sales, Apple’s market share continues to decline. According to the latest report by Kantar Worldpanel ComTech, Apple Inc. (NASDAQ:AAPL)’s market share in Japan stands at 69%, while its market share in the U.S. shrank to 43%, in Britain to 30.6% and in Australia to 35%. Kantar Worldpanel ComTech tracked data for three months ending November 2013.

Windows Phone a threat to Apple in Europe

Though industry experts feared that the iPhone 5C may harm Apple Inc. (NASDAQ:AAPL)’s appeal, increasing sales of its both flagship devices show customer satisfaction. However, solid performance of Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V), Sony Corporation (NYSE:SNE) (TYO:6758) and LG Electronics Inc. (KRX:066570) made it challenging for Apple Inc. (NASDAQ:AAPL) to increase market share.

Android’s share in Europe rose to 69.1% compared to 61.5% in the same period last year. And Windows Phone surprisingly emerged as the third largest smartphone operating system in Europe with a 10% market share, more than double the previous year. Meanwhile, the share of iOS declined from 24.6% to 18.1%. In Italy, the iPhone market share declined by 9.1%.

Apple Europe

The United States has always been the strongest market for Apple Inc. (NASDAQ:AAPL). But, here too, the company’s market share declined from 53% in November 2012 to 43.1% in November 2013. Android devices increased their market share from 42.3% to 50.3% in the same period. Windows Phone increased its market share from 2.6% to 4.7%.

Apple USA

Apple’s position in China not good

Even in China the scenario wasn’t good. While Android devices increased their market share from 73.7% to 78.6%, Apple Inc. (NASDAQ:AAPL)’s share declined from 18.5% to 17%. Though its recent deal with China Mobile Ltd. (NYSE:CHL) (HKG:0941) may help Apple Inc. (NASDAQ:AAPL) increase its market share in China. Windows Phone remained flat in the country with 2.7% share.

Apple China

Windows Phone has emerged as a strong contender in Europe. But it still lags in the U.S. and China. Kantar Worldpanel director Dominic Sunnebo said that China will be easy for Windows Phone because Nokia Corporation (NYSE:NOK) (BIT:NOK1V) (HEL:NOK1V) already has a solid presence in the country. The company needs success in one of the two countries.

Apple Inc. (NASDAQ:AAPL) shares fell 0.14% to $540.25 at 11:15 AM EST.

Leave a Comment