Counterpoint Research has recently revealed that global smartphone revenue rose 7% year-on-year in Q2 2026 to an historic $109 billion. This revenue makes for the highest second-quarter total on record even as shipments declined.
The disconnect between rising revenue and falling volumes was driven by average selling prices (ASPs), which rose 17% to a record high of $400, fuelled by sustained demand for premium devices and memory-driven price hikes across Android portfolios.
Apple was the standout performer, with revenue up 22% to the brand’s highest-ever Q2 total.
The growth was supported by a 13% rise in shipments alongside an 8% increase in ASP, pushing Apple’s revenue share to a record 49%.
Counterpoint Research director Tarun Pathak said Apple’s performance was underpinned by sustained demand for the iPhone 17 line-up, particularly the base 17 and 17 Pro Max, which kept the sales mix skewed toward premium smartphones.
Unlike rivals which pushed through steep price increases, Apple largely held pricing steady, a move Pathak said reflects the company’s ability to absorb rising bill-of-materials costs and stay comparatively insulated from the industry’s memory chip crunch.
He cautioned Apple would likely raise prices in coming quarters, but believes the pricing discipline so far has strengthened its competitive position, enabling growth in both value and volume.
China, Europe and emerging markets were strongholds, as Apple’s stable pricing improved its relative value proposition against widespread Android price hikes.
Samsung ranked second with a 16% revenue share, with both revenue and shipments up 9% helped by steady Galaxy A-series demand and continued momentum from the Galaxy S26 series, along with strong growth in North America and the Middle East and Africa.
Xiaomi posted the steepest shipment decline among the top five brands, down 26%, dragging revenue down 17% despite a 13% rise in ASP as the company pushed toward higher-value devices.
Oppo and vivo also saw revenue fall, down 10% and 11%, respectively.
Senior analyst Shilpi Jain said the market has entered a phase where value, not shipment volume, is the primary growth driver, with OEMs increasingly passing higher component costs on to consumers.
With memory shortages showing no near-term signs of easing, the research company expects further price increases and steeper shipment declines across the industry in the second half of 2026.
Source: Mobile World Live
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Source: Tahawul Tech