Grouped story
Chip Costs Shift Smartphone Market in India
Rising memory chip costs are reshaping the smartphone market in India, significantly impacting Chinese brands like Vivo. In the June quarter, Samsung and Apple gained market shares of 200 and 100 basis points, respectively, as new Chinese models now range between $200 and $250, up from under $150.
Key points
Vivo experienced a decline of 60 basis points in market share, indicating a shift in consumer preference towards established brands.
The increased prices of smartphones are primarily affecting Chinese brands, which are struggling to compete with Samsung and Apple.