started · updated
Global smartphone market faces decline amid shift toward premium devices
The global smartphone market is facing a significant downturn, with Counterpoint Research forecasting a 14.3% year-on-year decline in 2026. This contraction is being driven by rising component costs, particularly in mobile memory and chipsets, alongside reduced availability of low-priced devices and weakened consumer affordability.
Regional markets are experiencing similar shifts toward premiumization. In Southeast Asia, shipments fell 23% year-on-year in the second quarter of 2026, the lowest level since 2014. However, the average selling price (ASP) in the region rose 31% to $342, as manufacturers moved away from the sub-$100 segment. Samsung expanded its market share in the $200–$299 range despite these price increases.
In the Middle East, smartphone shipments (excluding Turkey) dropped 19% year-on-year in Q2 2026. While shipments for devices under $200 fell by 42%, the premium segment showed resilience; shipments for devices priced above $800 reached 1.9 million units, driven largely by Apple's popularity. Manufacturers are increasingly focusing on mid-range and premium segments to offset higher costs and maintain margins.
Entities
Apple · Counterpoint Research · Omdia · Samsung · Xiaomi
Claims
What the coverage asserts, and how many sources carry each claim.
- [○ 1 SOURCE] Apple's popularity was a primary driver of growth in the premium smartphone market in the Middle East. cyprus-mail.com
- [○ 1 SOURCE] The decline in the Southeast Asian market was largely driven by the segment of devices priced below $100. www.dailymagazine.co.kr
- [○ 1 SOURCE] Smartphone shipments in the Middle East (excluding Turkey) fell 19% year-on-year in the second quarter of 2026. cyprus-mail.com
- [○ 1 SOURCE] The average selling price (ASP) in Southeast Asia rose 31% year-on-year to $342 in Q2 2026. www.dailymagazine.co.kr
- [○ 1 SOURCE] The global smartphone market is forecast to decline 14.3% year-on-year in 2026. www.electronicsweekly.com
- [○ 1 SOURCE] Southeast Asian smartphone shipments fell 23% year-on-year in the second quarter of 2026, reaching a level not seen since 2014. www.dailymagazine.co.kr
- [○ 1 SOURCE] In the Middle East, shipments of smartphones priced above $300 rose 16% year-on-year. cyprus-mail.com
- [○ 1 SOURCE] Samsung is forecast to regain the leading global smartphone position in 2026, with shipments expected to grow by 0.8%. www.electronicsweekly.com