According to the latest International Data Corporation (IDC) report, worldwide smartphone shipments declined year-on-year in the fourth quarter of 2021 (4Q21), marking the second consecutive quarter of negative growth. Despite the second half of the year being challenging, full-year shipments still rebounded, thanks to a strong first half.
As per the report, smartphone sellers shipped a total of 362.4 million phones during the holiday quarter (4Q21), down 3.2% year-on-year, slightly better than the IDC forecast. In 2021, the market grew 5.7 percent year on year and shipped 1.35 billion smartphones.
Despite a slight decline in shipments year on year, Apple impressed the Holiday Quarters, once again topping the charts over Samsung. Its strength in the supply chain is demonstrated to be higher in 4Q21 than ever before. The iPhone 13 SKUs were an influential component of the holiday quarter volume, leading to a strong increase in the average selling price of the entire iPhone.
Samsung and Xiaomi followed in second and third place and were the only vendors in the top 5 to increase shipments per year on the 4Q21 – Oppo and Vivo are in the top 5. For the full year, a total of five sellers increased inventory for the year, with four out of five achieving double-digit growth.
Xiaomi’s annual growth has reached almost 30%, while Samsung’s slowest growth in 2021 is just 6.0%. This distinction clearly shows which vendor has benefited the most from Huawei’s sharp decline this year. For the reasons already mentioned, Apple achieved a healthy annual growth rate of 15.9% in 2021, as well as an impressive 40% growth in China in 2021.
Samsung Teams Up with Tech Titans for Arm’s IPO Amid Valuation Shuffle
A new report reveals that Samsung will participate as an anchor investor for Arm’s upcoming IPO after taking a conservative approach to the matter due to a perceived overvaluation and regulatory risk.
Samsung opted to make an investment in the chip designer, joining a slew of other industry players including Apple, Nvidia and Intel. Amazon, which was earlier rumored to be participating in the IPO, decided to step out.
It’s worth mentioning that the strategic investors have agreed to invest between $25 million and $100 million each. The specific amount for each company hasn’t been disclosed yet.
This means the offering price will come in between $47 and $51 per share. It makes Arm’s valuation between $50 billion and $55 billion, down from the initial estimation of $64 billion.
Arm’s IPO on Nasdaq, which is expected in September, is considered to be the biggest IPO deal of the year. The company controls a majority of the world’s application processor market, designing and licensing basic blueprints for chips.
Samsung vs Apple: The Epic Battle for Smartphone Supremacy in 2023
Market research firm TrendForce published the latest report on their analysis. The agency disclosed that after global smartphone production dropped by nearly 20% year-on-year in the first quarter, production continued to decline by about 6.6% in the second quarter, to 270 million units.
In particular, the global smartphone production in the first half of 2023 was 520 million units, a 13.3% decline compared to the same period last year. Both individual quarters and the first half of the year in total set a ten-year low.
TrendForce analysts pointed out that there are three reasons for the sluggish production performance:
- First, the lifting of epidemic prevention restrictions did not drive demand as expected;
- Secondly, the demographic dividend effect of the emerging Indian market has not effectively exerted its advantages;
- Thirdly, in 2022, brands will be deeply affected by excessive channel inventory. It was originally expected that as inventory is reduced, brands will return to production levels.
However, now affected by economic weakness, people’s consumption willingness is more conservative, resulting in poor production performance in the first half of the year. expected.
Second Quarter Market
In the second quarter, Samsung still topped the list, with Q2 output reaching 53.9 million units, a decrease of 12.4% from the previous quarter. The same period coincided with the replacement of old and new Apple models, with output of 42 million units, a decrease of 21.2% from the previous quarter.
Adding to this, the most obvious change in the smartphone market was Transsion (including TECNO, Infinix, and itel). Transsion surpassed vivo and entered fifth place in the world for the first time. Its output increased by more than 70% month-on-month to 25.1 million units.
In addition to Samsung and Apple, Xiaomi (including Xiaomi, Redmi, and POCO) produced approximately 35 million units in the second quarter, an increase of 32.1% from the previous quarter.
OPPO (realme, and OnePlus included) produced about 33.6 million units in the second quarter, an increase of 25.4% from the previous quarter. Q3 is expected to have a growth rate of about 10-15%, closely following Xiaomi.
Samsung gears up to dominate the booming GDDR market amid global gaming surge
Samsung and SK Hynix are strengthening their foray into the GDDR (Graphic Double Data Rate (GDDR) market amid the global gaming surge. The companies appear to be preparing to lead the GDDR market while gaining technological advantage in next-generation products.
Recently, IGI (Industry Growth Insights) published its new report citing that the GDDR market will grow from $3.2 billion in 2018 to $4.8 billion in 2030 with an average annual growth rate of 7.6%. It’s predicted that high-performance GDDR like GDDR6 will record a double-digit growth rate every year.
Samsung x GDDR
In July, Samsung Electronics developed GDDR7, the industry’s most advanced product, for the first time, and supplied samples to Nvidia for verification for next-generation system installation. SK Hynix also plans to complete GDDR7 development within this year.
On the other hand, Micron plans to introduce GDDR7 in the first half of next year, a step later. In this situation, Nvidia, the world’s largest customer in the GPU market, is known to preferentially review Samsung Electronics’ products instead of Micron’s next-generation products.