This country is now the biggest iPhone market in the world - Times of India (2024)

FAQs

This country is now the biggest iPhone market in the world - Times of India? ›

China has become the world's largest iPhone market in Q2, surpassing the United States for the first time. Apple had a mixed overall performance due to weak demand in North America, Western Europe, and Japan. However, the iPhone had impressive results, especially in China and India, where it remains highly popular.

United States – The US has consistently remained Apple's largest market, with approximately 119.9 million iPhone users based on Q4 2020 data (Source: Statista). The iPhone's strong presence in the US market can be attributed to factors such as early adoption, brand loyalty, and widespread availability.

In the second quarter of last year, India, for the first time became one of Apple's top five markets for sales. So, you know, it's then competing with the U.S. and other countries now. So it's in top five. In the market, Apple only has about 7% market share.

Aspirational Phone

Further, easier access to financing, availability in broader channels, buyback schemes and greater resale value is making premium iPhones more and more accessible to mainstream users, Shah noted. He predicts over 12 million iPhones are likely to be shipped in the country in 2024.

Apple achieved record revenue in India during the quarter ending March 2024, despite an overall 4 per cent decline in revenue due to slumping iPhone sales compared to the same period last year, according to CEO Tim Cook. “We did grow strong by double-digit, and so we were very, very pleased with that.

Apple is also ramping up its manufacturing in India as it looks to be less reliant on China. While it makes sense to avoid getting caught in the US-China trade war and the recent struggles of the Chinese economy, there is an even bigger reason: it is just cheaper now to make things in India.

This decision has helped to create an aspirational brand image for Apple. As a result, getting an iPhone is now seen as a status symbol, particularly in developing or newly industrialized countries like India, Indonesia, and Vietnam. The third key factor contributing to Apple's success is the network effect.

This marks India as a potentially significant market. On 3 February, Mint reported that increasing enterprise clients could boost Apple to register over $10 billion in annual revenue in India for FY24—which could also be the first full fiscal where Apple tops the smartphone market's revenue chart.

While Apple may not command a significant market share in India's smartphone industry, CEO Tim Cook has identified India as a key focus for the company. With over 90 lakh iPhones sold in India in 2023 and more than 60 per cent of sales coming from Tier-II and Tier-III cities, Apple is positioned for continued growth.

Firstly, iPhones are not entirely "made in India" but rather assembled in the country. The supply chain for iPhone production still relies on components imported from other regions. Consequently, Apple is subject to customs duties, which have a direct impact on the final prices.

Why are iPhones cheap in Dubai? ›

The prices in Dubai are slightly lower than in India. The price difference is due to factors such as import duties and the scale of business in India. Apple is focusing on previous-generation models in India to attract more customers.

As far as review is concerned the phones are going to be the exact same. Apple is not stupid to manufacture different quality iphone for the Indian market and other markets. Iphone in India will only be assembled. All the components will be imported from different parta of the world just like how it is done in China.

Factories belonging to key contract manufacturers Foxconn and Pegatron, based in Tamil Nadu, along with Wistron (now owned by Tata Electronics) in Karnataka, produce various iPhone models for Apple in India. This production encompasses iPhone models 11, 12, 13, 14, and the newest addition, the iPhone 15.

Investors can invest in Apple through Indian and US mutual funds that hold the company's stock.

Market research firm IDC's recent data reveals key insights into the models driving iPhone growth in India. The IDC report shows that the iPhone 13, iPhone 14, iPhone 14 Plus, iPhone 14 Pro, and iPhone 15 accounted for a substantial 86% of total iPhone sales in India in 2023.

Nearly half of the Apple's iPhones are manufactured at Foxconn's Zhengzhou plant in central China. There are 94 iPhones production lines operated by 350,000 workers, and about 350 iPhone units are assembled per minute at the Foxconn plant in Zhengzhou. Daily production could reach as many as 500,000 units.

According to research firm Counterpoint, as reported by CNBC, India has become Apple's fifth-largest iPhone market in the second financial quarter ending in June. India has surpassed Germany and France for iPhone sales. The leading markets remain the US, China, Japan, and the UK.

iPhone vs Android Market Share Worldwide

According to the latest data, Android dominates the global smartphone market with a 70.69% share, while iPhone (iOS) has a 28.58% market share.