iPhone shipments in China fell 17% to 42.9 million in 2024; Apple stock swoons

According to research firm Canalys, Apple’s iPhone lost its leading position in the Chinese smartphone market in 2024, falling to third place as domestic competitors capitalized on the lack of AI features available on iPhones sold in the country. iPhone shipments in China dropped 17% to 42.9 million units, allowing Chinese manufacturers Vivo and Huawei to surpass Apple and claim the top two market share positions.
Apple stock dropped nearly 3% on the report.
Adam Clark for Barron’s:
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Apple Intelligence — the company’s AI offering that was incorporated into the iPhone 16 — isn’t available on smartphones purchased in mainland China, as it awaits regulatory approval.
Apple is falling behind in a growing market. Overall, shipments of smartphones in China rose 4% year over year to 285 million units. Canalys projects shipments to rise to more than 290 million units this year.
Its Chinese sales slump deepened to a 25% year-over-year fall in the final quarter of 2024. That suggests rival products such as Huawei’s Mate 70 smartphone outshone the iPhone 16 following its launch in the fall.

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MacDailyNews Take: You can’t miss something as big as GenAI and not take a hit from it at some point. As Apple condenses its Apple Intelligence vaporware over time, this too shall pass.
See also:
• iPhone sales will build over years as Apple Intelligence vaporware condenses – September 5, 2024
• Apple’s artificial intelligence efforts are still very much in catch-up mode – October 21, 2024
• Apple CFO transition? Check! CEO transition? – August 27, 2024

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