Global Smartphone Shipments Hit Record Low Amid Coronavirus Pandemic
The coronavirus outbreak causes the largest year-over-year decline in worldwide smartphone shipments ever recorded during the first quarter. IDC reports a massive drop in consumer demand as global lockdowns force retail closures.
Worldwide smartphone shipments experience their largest year-over-year decline ever during the first quarter as the coronavirus outbreak disrupts the global market. According to the International Data Corporation (IDC), total shipment volumes drop 11.7% compared to the same period last year, with companies shipping just 276 million smartphones. This significant decrease surpasses the 6.6% drop seen in the first quarter of 2019.
The crisis initially begins as a supply-side issue limited to China but quickly expands into a global economic problem as major economies enter lockdowns. IDC research director Nabila Popal notes that while Chinese supply chains start to recover by the end of the quarter, consumer demand flatlines worldwide. Cautious consumers and the forced closure of retail shops strongly impact all consumer device markets.
Despite the overall market downturn, Samsung maintains its top position with a 21% market share by shipping 58.3 million smartphones. IDC attributes this success to the popularity of Samsung's A series and the improved profit margins from its 5G flagship S20 device. Huawei holds onto the number two position, although its market share slips slightly to 17.8% with shipment volumes falling 17% year over year.