Global smartphone shipments declined 7.8 percent on a yearly basis to 265.3 million units in the second quarter of 2023 (April-June), preliminary data from the International Data Corporation (IDC) showed.
International Data Corporation (IDC) is a global market intelligence and advisory services provider.
With this, it marks the eighth consecutive quarter of contraction as the market struggles with weak demand, inflation, macroeconomic uncertainties, and excess inventory. The rate of decline though is slowing compared to previous quarters, IDC said in a release.
“The good news is that inventory levels are improving and the latest market chatter suggests that by Q3 excess inventory in finished devices and components should clear up,” said Nabila Popal, research director with IDC’s Mobility and Consumer Device Trackers.
There is an optimism that the market would return to growth by the end of the year and into 2024, IDC said.
China, according to IDC, witnessed a year-over-year decline of 2.1 percent in the April-June quarter after five quarters of significant double-digit contractions.
“While this is better than past quarters, consumer sentiment and spending remain low,” it said.
The other large regions, including Asia/Pacific (excluding Japan and China), the US, and Europe, the Middle East, and Africa (EMEA), also saw shipments decline by 5.9 percent, 19.1 percent, and 3.1 percent respectively.
“Although the first half of the year has presented many challenges to the market, we believe that there remains plenty of opportunity awaiting in the second half of the year,” said Anthony Scarsella, research director, of Mobile Phones at IDC.