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Samsung holds fourth spot in global smartphone chipset market in 2Q21
In addition to display panels, memory and storage chips, camera sensors, and batteries, Samsung also makes its own smartphone processors. Exynos company is competing with Qualcomm and MediaTek chipsets. However, the South Korean company is not in the same league when it comes to market share.
According to the latest figures from Counterpoint Research, Samsung is ranked fourth in the global smartphone chipset market during Q2 2021. At the moment, the company’s market share was only 7%, a significant decline compared to the 13% market share. Q2 2020. Samsung Electronics mobile division by System LSI’s (Samsung business arm that makes Exynos chipsets) is a great client.
However, it has always been preferred to use Snapdragon and MediaTek chips in its many entry and mid-range devices over the past year. This could be the reason for Samsung’s declining market share in the global smartphone chipset market.
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MediaTek, which recently passed Qualcomm, is still the largest processor product in the world. Its market share has increased from 25% in Q2 2020 to 38% in Q2 2021. Qualcomm is in second place with a market share of 32%.
Apple is ranked third on the list with a market share of 15%, which is a slight increase of more than 13% last year. However, that is understandable as the company uses its chips, and its market share depends on sales of the iPhone, iPad, MacBook, and Mac.
Unisoc, which is targeted at the entry-level market, had a stable business with 5% market share. Huawei’s HiSilicon, which has faced the most difficult conditions since US trade closures, saw a drop in its market share from 16% in Q2 2020 to only 3% in Q2 2021.
Samsung’s Exynos chipsets have been widely criticized over the past few years for their poor performance and energy efficiency. However, the company has shown signs of improvement with the Exynos 980 and Exynos 2100. The Exynos 2100 offers much better performance and energy efficiency compared to the Exynos 990. However, there is still a long way to go before the Exynos chips able to beat Spapdragon chips in general performance.
Earlier this year, Samsung took a major step in partnership with AMD to deploy Mobile Radeon GPUs within its Exynos platforms. The Exynos 2200 is said to be the first Samsung chip to install RDNA2 graphics. The company will release more mid-range chips with AMD graphics sometime next year. However, only time will tell if Samsung’s partnership with AMD will increase its position in the global smartphone chipset market.
Samsung remained the king in the Q2 2024 market, but Apple and Xiaomi are getting closer. IDC market research data shows that Samsung led the worldwide smartphone market in the second quarter of the year and Chinese brands scored rapid growth.
According to IDC, Samsung sold 53.9 million devices in the second quarter. The company occupied an 18.9% market share internationally. The company has slightly improved its sales share up from 53.5 million units in the same period last year.
The data suggests that Apple ranked second in terms of global volume sales. The iPhone maker shipped 45.2 million devices in Q2, 2024. It captured a market share of 15.8%, a modest increase from 44.5 million shipments in the second quarter of last year.
Third comes Xiaomi. The Chinese brand saw massive growth in sales year over year. It had sold 42.3 million smartphones in the second quarter alone. It’s a big jump from 33.2 million units shipped in Q2 2023, becoming a potential threat to Apple and Samsung.
Apart from this, Vivo also recorded significant growth in the global market. The company’s year-over-year growth in Q2 was 21.9%, with sales listing 25.9 million units with a market share of 9.1%. The growth percentage shows that aggressive marketing and boasting competitive specs into devices is paying off.
Samsung, Apple’s game isn’t over…
Last week, Samsung launched its new foldable phones, releasing on July 24, 2024. Apple, on the other hand, is expected to launch new flagship iPhones in September. It means, Samsung will enjoy the third quarter as well. The fourth quarter might be of Apple as iPhone sales would sharply grow in the global market given the new lineup release.
Samsung is now preparing to unveil new FE products later this year, followed by the S25 series in early next year. Chinese brands are expected to debut their latest flagships in the last quarter of this year, while Google Pixel phones are also coming in August.
Samsung today announced provisional sales and profit results for the second quarter. Samsung formally announced the provisional/predicted sales and operating profit, suggesting a massive profit boom in Q2, 2024 given the AI memory semiconductor rise.
In Q2, 2024, Samsung sales provisionally increased by 2.89% and operating profit by 57.34% compared to the previous quarter thanks to AI boom. Besides, the sales climbed by 23.31% and operating profit by 1,452.24% compared to the same period last year.
The company expects sales of 74 trillion won and operating profit of 10.4 trillion won on a consolidated basis. While these results are not final, there won’t be much change in the final result when it comes out. Samsung had a pretty profitable period in the second quarter.
Samsung in Q2
- Consolidated Sales: Approximately 74 trillion Korean won
- Consolidated Operating Profit: Approximately 10.4 trillion Korean won
The Korean tech giant is currently facing yield issues in its second-generation 3nm process. The flagship Exynos processor is unlikely to be commercialized this year. It would lead the Mobile business to face additional burdens due to rising prices of Snapdragon chipsets.
Meanwhile, Samsung is focussing on HBM (high bandwidth memory) semiconductors. HBM is a key player in artificial intelligence servers and data centers. The booming AI market will directly benefit Samsung’s semiconductor business.
Samsung ranked first in market share in the global smartphone market in Q3, 2023. TrendForce report says that Samsung led the global Q3 smartphone market, recording a market share of 19.5%.
Overall production in the third quarter increased by 11.5% compared to the previous quarter to 60.1 million units. During the same period, Apple’s production increased by 17.9% to 49.5 million, thanks to iPhone 15.
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Third place was taken by Xiaomi (13.9%), followed by Oppo (12.6%) and Transion (8.6%). 6th place is Vivo (8%). Meanwhile, global smartphone production reached 308 million units, a 13% increase compared to the previous quarter and a 6.4% increase from the previous year.
Huawei’s re-entry into the flagship smartphone market targeting Apple has had a significant impact in China. Huawei is aiming to expand its high-end flagship series, focusing on the Chinese domestic market next year, so Apple “We plan to attack directly”.
// Source