iPhone market share in US smartphone activations hit a six-year low, signaling a disturbing trend for Apple. This decline, found in the most recent data from Consumer Intelligence Research Partners (CIRP), means that iPhones now make up just a third of all new smartphone activations in the US, up from 40% previously.
It is one of lowest levels ever recorded from the company.
At the root of this phenomenon there could be a weakening of consumer demand, although factors such as longer lifespan of iPhones were able to contribute.
Comfortable longevity
THE data from the last four quartersprovided by Consumer Intelligence Research Partners (CIRP), show a gradual decline in iPhone activations, with strong competition from Android smartphone makers benefiting: they now hold two-thirds of the activation market share.
Several factors contribute to Cupertino’s decline.
L’increase in smartphone prices it is accompanied by increased durability, encouraging users to keep their devices for longer periods and wait before upgrading to new models.
It should be considered, however, that many devices with Android operating systems are more accessible than iPhones, a factor that contributes to the reduction in activations of Apple products.
Temporary slowdown
The current slowdown in sales activation rate is a critical indicator of changing consumer behavior in the smartphone market.
People are less and less inclined to update devices as quickly as in the past, perhaps waiting to more substantial updates or changes in technology.
Whether this trend represents a temporary blip or a long-term change in consumer purchasing behavior remains to be seen.
A considerable portion of customers may be awaiting the launch of theiPhone 16However, reports on Apple’s upcoming lineup are mixed.
Some analysts predict that the new lineup may lack compelling features, which could result in a 15% decrease in iPhone shipments for the full year.
However, other sources indicate that the new lineup could include a more powerful Neural Engine, capable of handling AI capabilities directly on the device, with generative AI capabilities built into iOS 18, which could spur sales.
If Apple can keep the price unchanged while introducing new features during this year’s official launch, it could lead to increased activation rates in the coming quarters.
