India's smartphone market is experiencing a slowdown in shipments, but its value continues to grow, according to IDC's latest report for the first half of 2026.
Total shipments fell 7.9% year-on-year in H1 to 64.2 million units, the lowest first-half figure in five years.
In Q2 alone, shipments dropped 11.1% to 33.2 million units.
Despite lower volumes, market value rose 3.6% due to higher average selling prices.
Brands are passing on increased costs of memory, storage, and displays, while online discounts have become less frequent.
Chinese brands bear the brunt
Chinese brands, which have traditionally dominated the volume charts, are feeling the most pressure.
Vivo remained the top brand but saw shipments fall 13.9% in Q2, reducing its market share to 18.4% from 19%.
Xiaomi was down 10%, Oppo 8.5%, realme 14.2%, and Poco 12.3%.
iQOO experienced a particularly steep decline of 61%.
These brands have relied on aggressive online promotions and budget-to-midrange line-ups, a strategy that is becoming less effective as prices rise and consumers become more selective.
Samsung and Apple gain ground
In contrast, Samsung and Apple have held steady or grown.
Samsung's shipments ticked up 0.4%, lifting its share to 16.4% from 14.5%.
Apple grew 0.7% and increased its share to 8.5% from 7.5%.
On the value side, Apple led the market with a 27% revenue share after a 22.2% year-on-year jump.
The iPhone 17 was the best-selling model in both Q1 and Q2, despite supply constraints on several iPhone generations.
Outlook for the rest of 2026
IDC expects the second half of 2026 to remain challenging.
Shipments could fall more than 15% year-on-year, putting full-year volumes around 128-130 million units.
The Indian market is beginning to resemble more mature markets, with longer replacement cycles and less automatic brand loyalty.
Consumers are still willing to spend, but only when they perceive clear value.
Brands that depend on pushing high unit volumes are under pressure, while those with stronger pricing power and premium offerings are better positioned to handle the slowdown.
