Global smartphone revenues grew 8% YoY in Q1 2026 to reach $117 billion, despite a decline in shipments, according to Counterpoint Research’s latest Market Monitor Service. The market was pressured by rising Bill of Materials (BOM) costs and a severe memory shortage, which weighed on shipments. However, higher demand for premium devices and price increases across portfolios drove ASP up 12% YoY to a Q1 record of $399.

Commenting on the market dynamics, Senior Analyst Shilpi Jain said, “The global smartphone market is going through a transition phase where volume-led growth is being replaced by value-led expansion. Q1 2026 reflects a structural transition, as memory constraints and elevated component costs are driving price increases, and forcing OEMs to rationalize portfolios, particularly in entry- and mid-tier segments. At the same time, resilient demand in the premium segment, supported by stronger upgrade cycles, financing, and trade-in programs, has helped sustain higher-value shipments. This shift has supported sustained ASP growth, partially offsetting the decline in shipments and supporting overall market value growth.”

Apple’s revenue climbed 22% YoY in Q1 2026, registering the fastest growth among the top five smartphone brands while also hitting a first-quarter record high. Furthermore, the brand led the global smartphone market in terms of shipments for the first time in a first quarter, capturing a 21% share.

Commenting on Apple’s performance, Research Director Jeff Fieldhack said, “Apple’s growth was driven by sustained demand for the base iPhone 17 and iPhone 17 Pro Max, with a stronger mix of these models lifting Apple’s overall ASP by 11% YoY. Unlike its peers, Apple mostly maintained stable pricing despite rising BOM costs, reflecting its ability to absorb cost pressures and remain insulated from the memory crisis, which helped strengthen its competitive position during the quarter. Regionally, Apple saw broad-based strength, especially across the Asia-Pacific region, driven by subsidies, promotions, and trade-in offers.”

Samsung was the second-largest contributor in both revenue and shipments during the quarter. Although the brand’s shipments remained flat in Q1 2026, ASP rose 4% YoY helping sustain a 4% revenue growth. This increase was supported by a gradual recovery in the mid-tier segment and improved channel momentum, along with stronger traction following the Galaxy S26 series launch. Despite the flagship’s delayed launch, the Ultra variant emerged as a key contributor and witnessed higher pre-bookings compared to its predecessor. Samsung also adopted a structural pricing shift by eliminating lower storage variants, effectively lifting entry price points and ASPs, while anchoring its portfolio at higher specifications to strengthen its premium positioning.

Xiaomi recorded the steepest decline among the top five brands in Q1 2026, with shipments falling 19% YoY and revenue tumbling 18% YoY. This was driven by the brand’s high exposure to entry- and mid-tier segments which were negatively impacted by rising memory costs. Successive price hikes across budget models further weighed on demand, making Xiaomi one of the most affected OEMs. The brand’s performance weakened across most regions, except LATAM, which remained relatively stable due to aggressive promotions.

OPPO and vivo ranked fourth and fifth, respectively, in Q1 2026, in terms of revenue. During the quarter, OPPO’s ASP climbed 3% YoY while vivo’s grew 10% YoY. OPPO’s ASP growth was mainly supported by a continued shift toward higher-value segments and disciplined portfolio management amid cost pressures. vivo’s Q1 2026 revenue rose 5% YoY driven by a stronger mix of mid-range to premium devices across its V and X series in India and S series in China, reflecting improving consumer preference for higher-value upgrades.

Looking ahead, the global smartphone market is expected to remain under pressure through 2026, and shipments will likely continue to decline. A substantial recovery is expected only in late 2027. However, continued premiumization and elevated memory prices are expected to support ASP expansion, partially helping cushion revenue decline.

About Counterpoint Research

Counterpoint Research is a global market research firm specializing in products across the technology ecosystem. We advise a diverse range of clients – from smartphone OEMs to chipmakers and channel players to Big Tech – through our offices located in the world's major innovation hubs, manufacturing clusters and commercial centers. Our analyst team, led by seasoned experts, engages with stakeholders across the enterprise – from the C-suite to professionals in strategy, analyst relations (AR), market intelligence (MI), business intelligence (BI), product and marketing – to deliver services spanning market data, industry thought leadership and consulting. Our core areas of coverage include AI, Automotive, Consumer Electronics, Displays, eSIM, IoT, Location Platforms, Macroeconomics, Manufacturing, Networks and Infrastructure, Semiconductors, Smartphones and Wearables. Visit our Insights page to explore our publicly available market data, insights and thought leadership, and to understand our focus, meet our analysts and start a conversation.

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