In a surprising shift within Taiwan's competitive mobile phone market, Samsung Electronics is anticipated to outpace Apple in monthly sales as early as June 2024. Industry insiders cite two key factors driving this change.
Firstly, Taiwan's 3G network is scheduled to shut down on June 30, sparking a surge in demand for mid-to-low-end smartphones. Secondly, the impending release of Apple's next iPhone model in September is prompting consumers to delay their purchases, shrinking the shipment gap between the two tech giants to a mere 1.1 percentage points in May. This sets the stage for Samsung to potentially claim the top spot in June.
As of the end of February 2024, approximately 2-3% of mobile subscribers with the three major telecom operators in Taiwan were using phones that do not support VoLTE services. With the discontinuation of 3G network services looming, a wave of existing 3G users has already begun upgrading their devices. This trend boosted Taiwan's mobile phone shipments to nearly 430,000 units in May, an 18% increase from April and up from about 390,000 units in May 2023.
Samsung has emerged as a primary beneficiary, with its Galaxy A55 model outperforming the iPhone 15 series to become Taiwan's top-selling smartphone. This success has narrowed Samsung's shipment gap with Apple to just 1 percentage point.
Meanwhile, Oppo, Vivo, and Redmi have also experienced a resurgence, capitalizing on the increased demand for budget-friendly devices. Oppo achieved a 14.5% market share in May, its highest in a decade.
Retail analysts predict that the momentum from the 3G network shutdown will sustain high shipment volumes into June, bolstering the overall performance of Android manufacturers.
Conversely, Apple's market share in Taiwan slipped to 30.9% in May, down two percentage points from April, as potential buyers await the September iPhone launch. This trend is expected to continue, with a strong possibility that Samsung will surpass Apple in June. However, analysts caution that Samsung's ascension is not guaranteed and hinges on two critical variables.
While the Samsung Galaxy S23 Ultra remains a bestseller, it faces intensifying competition from Sony's new flagship Xperia 1 VI and Google's latest models. Samsung's ability to fend off challenges from mid-to-low-end rivals such as Oppo, Vivo, and Redmi will be crucial.
As the battle for supremacy in Taiwan's mobile market heats up, all eyes will be on the June sales figures to see if Samsung can dethrone Apple.
