India’s smartphone market declined by 8% year-on-year in Q1 2025 to 32.4 million units, Canalys reports. Xiaomi and Samsung were the worst affected, losing substantial market share as a result of poor demand and overstocking.
Xiaomi’s shipments (including Poco) fell by 38%, slashing its market share from 18% to 12% — the biggest decline among major brands. Samsung’s shipments dropped 23% to 5.1 million units, reducing its share from 19% to 16%.
Canalys analyst Sanyam Chaurasia noted that Xiaomi’s early Note 14 launch had a tepid response, though budget models like the Redmi 14c 5G kept the brand afloat in the entry-level segment.
While Vivo was the market leader with 7 million units and a 22% market share, Oppo and Realme bucked the overall trend of slowdown with small growth — 5% and 3% respectively — to consolidate their positions in the top five.
However, Apple registered its best-ever Q1 ever in India on the back of solid iPhone 16 sales, Republic Day offers, and iPhone 16e success in small cities.
In spite of a bumpy beginning, Samsung registered 5% growth in its high-end Galaxy S25 series due to innovations such as conversational AI that kept premium customers engaged.
Brands are pursuing premium products and ecosystem approaches for upgrades and margin support, Chaurasia stated. He also pointed out that US tariffs are propelling India along the value chain globally, although domestic demand still weakens, particularly in rural regions.
Upgrade cycles are decelerating, and only innovations such as AI and closer device-to-device integration will be able to generate new interest. Though growth overall will be modest in 2025, higher average selling prices and more demand in the ₹20,000–₹30,000 segment provide some cause for optimism.
