It has been known for many years that China is an important market for Apple. Now, for the first time, the region appears to have surpassed the previous leader, the United States, in iPhone sales. The market research firm reports TechInsights. According to analysts’ latest “Global Shipment Report” in the second quarter of 2023, 24% of all iPhone shipments went to the People’s Republic, while the United States dropped to 21%. The reason is apparently the currently sluggish market for new smartphones in Apple’s home country.
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Interested in premium phones
TechInsights identifies local economic power, the “expanding middle class and Chinese consumers’ preferences for premium mobile phones” as further reasons for good business in China. As a result, the best-selling model was the iPhone 14 Pro Max, which can cost up to 2100 euros in Europe. At the same time, US citizens reportedly hesitated to buy a new iPhone in the second quarter as they waited for the new models, which Apple will introduce as usual in September.
The Chinese market is quite unlikely to purchase more iPhones than the US in the current third quarter as the country is currently grappling with an emerging economic and real estate crisis that is To dampen the population’s passion for consumption I could. However, the development for Apple is apparently good: the group manages to compensate for lower iPhone sales by selling more expensive models. The iPhone 13 (so not a Pro model) is said to have been Apple’s best-selling smartphone last year.
Things are looking up in China
Apple already pointed out that things are looking better in China when it announced its latest quarterly data. In the Middle Kingdom, revenues increased by nearly 8% to $15.7 billion. According to CEO Tim Cook, the iPhone was “at the heart of these results”, while at the same time sales increased significantly, especially in the wearables sector, namely Apple Watches and AirPods. Apple’s “China” region always includes not only mainland China, but also Hong Kong, Macao, and Taiwan.
In addition to the People’s Republic, Apple is also hoping for the rapidly growing Indian market. The company sees a development there similar to what has occurred in China in recent decades: an increasingly affluent middle class that is also increasingly interested in more expensive products. At the same time, the country is becoming a major new manufacturing location for Apple.
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