Global smartphone shipments decline by 19 percent in third quarter
While global shipment volumes saw a double-digit decline, total industry revenue grew by three percent to $114 billion, driven by significantly higher average selling prices.
Global smartphone shipment volumes contracted by 19 percent in the third quarter of 2026, according to Counterpoint Research market data. Despite the drop in volume, total industry revenue increased by three percent to $114 billion, as manufacturers raised average selling prices (ASP) by 27 percent to a record $442 to offset rising memory and component costs.
Apple secured 50 percent of the global smartphone revenue share, marking a record for the third quarter, with its own revenue growing 17 percent year-over-year. Analysts attribute this resilience to strong demand for the iPhone 17 lineup and the premium pricing strategy for the new iPhone 18 Pro series. Samsung remained the leader in shipment volume with a 22 percent share, while its revenue grew 14 percent, supported by higher contributions from its Ultra and foldable models.
Market analysts warn that the current reliance on price increases to sustain revenue is becoming difficult to maintain. With memory costs continuing to squeeze margins, manufacturers are shifting focus away from entry-level segments toward premium models. Predictions for the fourth quarter suggest that the decline in volume may eventually outpace price growth, potentially leading to a period of contraction for the industry's total revenue.