Samsung and Xiaomi may be leading the pack in terms of global smartphone shipments, but when it comes to revenue from smartphones, which is a real deal, equations change drastically. Apple iPhone revenue figures leave both Samsung and Xiaomi much behind, cementing its domination in the globals smartphone market.
According to the latest report from Counterpoint, a leading research firm, Apple accounted for 41% of the global smartphone OEM revenue in Q2 2021, up 7% point from 34% in the year-ago quarter.
In Q2 2021, no smartphone OEM matched Apple’s performance in the revenue segment. None of the top performers by smartphone shipments, be it Xiaomi, Samsung, Oppo or Vivo, could gain even half of what Apple gained in the last one year. The record sales of the iPhone 12 series have been helping Apple widen the gap with each passing quarter.
Apple iPhone Revenue: Big Picture
- The global smartphone sales revenue reached $96 billion in Q2 2021, up by 25% YoY.
- Apple captured 41% of the global smartphone revenue market in Q2 2021.
- The increased ASP of iPhone, combined with the highest ever sales of iPhone in the second quarter, helped Apple to increase its share by 7% point in the last one year.
- Despite aggressive marketing tactics and campaigns to promote its ultra-premium Galaxy S21, S21 Ultra and Galaxy Fold 2, Smasung could manage to capture only 15% of the global smartphone revenue market in Q2 2021.
- Samsung’s global smartphone revenue market share declined from 17% in Q2 2020 to 15% in Q2 2021.
- Samsung was the only OEM among the top smartphone vendors by the shipment share whose revenue share declined.
- Xiaomi, which secured the second position in the list of top smartphone vendors by smartphone shipments, accounted for 9% of the global smartphone revenue share in Q2 2021.
- One of the primary reasons behind the below-than-expected share of Xiaomi was its domination in entry, budget and mid-range price segments.
- Unlike Apple and Samsung, a huge chunk of Xiaomi’s smartphone quarterly sales fall under sub-$300 price segment.
- Oppo and Vivo also captured 9% each of the global smartphone revenue market in Q2 2021.
Food For Thought
Apple, the world’s first publicly listed tech company with a market cap of over $2 trillion, might have stopped disclosing the number of iPhone it sells every quarter, but the revenue figure tells a lot about the increasing popularity of the iPhone. The skyrocketing sales of iPhone 12 Pro Max – the most expensive iPhone Apple has ever made – has zipped the mouth of critics who mocked Apple for launching the device at such an exorbitant price.
Finally, it’s turning out that Apple is on course with its strategy of not compromising with price and quality to fall into the trap of number games. In the end, it’s revenue and profit, not just sales figures, that matter the most for investors, markets and the management of any company.