U.S. smartphone market falls 25% this Q2 2020

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As expected, the numbers for smartphone sales for the second quarter of 2020 will be worse than the previous months as April – June were the height of quarantine measures in most countries, In the U.S. alone, smartphone sales fell 25% for this quarter year-over-year. The only brand that may have not suffered as much was Apple but the rest like Samsung, LG, OnePlus, and other Android brands were not as lucky. There might be a light at the end of the tunnel in the 3rd quarter as numbers may start to pick up.

According to the report by Counterpoint Research, smartphone sales in the U.S. unsurprisingly went down by 25% during the second quarter of 2020. April was the worst since around 80% of sales channels were closed during this period and sell-through volume was down by 50%. The good news is that things have been slowly improving by June. In fact, June 2020 sales were even better than June 2019 numbers, showing that “the US smartphone market is resilient.”

Samsung was one of the unfortunate ones affected, more so because the launch of the Galaxy S20 coincided with the lockdown of several states and the temporary closures of stores. Despite that, their sales only dropped by 10% so that’s still a good thing. Analysts are predicting that they will be able to recover during the third quarter but there are also S20 sales that will be lost for good.

Others had it worse. LG fell 35% and OnePlus, Motorola, and ZTE all had sales fall more than 60% during this quarter. Alcatel / TCL fell only 11% because of government-subsidized programs. Apple, despite falling 23%, had a “bright spot” with the iPhone SE, which even saw some users coming over to their side with 26% of its buyers coming from Android devices.

Some signs that things might improve include some stores reopening, stimulus checks coming in and people needing to spend on gadgets. But we’re also seeing signs of a second wave and case surging in some states leading to some stores closing again. We’ll find out when this quarter ends if things are better for OEMs in the U.S.

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