Apple’s iPhone production saw a significant increase of 19.7% in the first quarter of 2026, despite a 1.7% contraction in the global smartphone market. The company produced around 60.2 million iPhones, securing the second position among global smartphone brands, just behind Samsung, which produced 62.6 million units. The launch of the iPhone 17e and the expansion of the iPhone 17 lineup contributed to Apple’s strong performance. Unlike many competitors, Apple has managed to absorb rising memory component costs without increasing prices, focusing instead on growing its market share and expanding its software and services business. Meanwhile, Chinese brands Oppo, Xiaomi, and Vivo are facing challenges with their production plans due to increased memory costs affecting profitability. Transsion, which focuses on budget segments, is particularly vulnerable. Looking forward, global smartphone production is expected to drop by 16.2% in 2026, with potential further declines if memory prices remain high and force brands to raise retail prices.
Is Apple Defying the Smartphone Market Slump with Increased Production?
