India’s smartphone market tops record 300m in 2016, iPhone hits new high

Photo credit: paulprescott72 / 123RF.

As India shifts from flip phones to smartphones with ever more vigor, the country saw a record high of 300 million smartphones shipped in 2016, up 18 percent from the previous year. India outpaces the global smartphone market, which grew only three percent, says data from Counterpoint Research.

Apple hit a new high of its own, shipping 2.5 million iPhones in India last year – a third of them from October to December alone when the new iPhone 7 and 7 Plus coincided with Diwali festivities. That puts Apple in 10th place in India.

Disaster for Indian brands

India’s homegrown phone makers, however, have little cause for celebration. In the final three months of the year, no Indian brands featured among the top five – the first time that has ever happened. Instead, Samsung and four Chinese brands dominated the market, pointing towards a disastrous 2017 for local firms such as Micromax and Intex.

Apple boss Tim Cook. Photo credit: iphonedigital.

Chinese brands displayed their growing might by taking up 46 percent of the market for new smartphones in October to December, up from 14 percent the year prior.

2016’s top five in India:

• Samsung – 25 percent
• Micromax – 11 percent
• Lenovo & Motorola – 9
• Intex – 7 percent
• Reliance Jio – 6 percent

India’s cash crunch, caused by its largest notes being taken out of service, damaged mobile sales from November onwards. That will likely roll into the new year as the ongoing shortages at some ATMs makes big-ticket purchases inconvenient.