Samsung still tops declining smartphone market in India

NEW DELHI: For the first time India’s smartphone market fell by 4 % in the October-December period last year as compared with the previous quarter, even as handsetmaker Samsung retains its top position as leading vendor with 22 % share, research firm IDC said on Tuesday.

According to IDC’s latest quarterly report, total shipments of smartphones during the fourth quarter were about 22.5 million.

Korean tech giant Samsung, which had a 24 % share of the Indian smartphone market in July-September 2014 quarter, has been facing intense competition in India from domestic rivals like Micromax and Lava as well as global brands like Xiaomi and Motorola.

In terms of market share, Samsung is followed by Micromax at 18%, Intex (8%), Lava (7%) and Xiaomi (4%).

“The smartphone market observed shipment contraction in Q4 for the first time ever (quarter-on-quarter basis). This was largely owing to a high channel inventory at the beginning of the quarter amongst general trade, which in turn was caused by the surge witnessed in online sales during festive season,” IDC said in a statement.

The overall mobile phone shipments to India, which is one of the world’s fastest growing handset markets, witnessed a quarter-onquarter drop of 11% to 64.3 million units in the period under review compared to the previous quarter. Year-on-year, the drop is 5%.

The fourth quarter in 2014 was seen as a “correction phase” wherein the smartphone market declined by 4%, while the featurephone market tanked by around 14% over July-September 2014, it added. Going ahead, IDC projects a sluggish January-March 2015.

On Monday, IDC said the Samsung has been dethroned as top tablet vendor in the Indian market by domestic firm iBall.

Mumbai-based iBall overtook Samsung in the Indian tablet market with 15.6% share in the October-December quarter, which saw shipments of 0.96 million units.

Last month, another research firm Canalys said Micromax (22% share) had overtaken Samsung (20%) as number one seller in the last quarter of 2014.