GCC witnesses 5.8 percent decline in mobile phone sales in second quarter

A report by International Data Corporation (IDC) shows that overall Gulf Cooperation Council (GCC) mobile phone sales declined 5.8 percent quarter over quarter (QoQ) in Q2.

Smartphone shipments were down 5.1 percent QoQ to 5.26 million units and feature phone shipments fell 11.9 percent to 590,000 units, the report quoted by the website Telecompaper.com said. 

The GCC smartphone market totaled USD 1.88 billion in Q2, down 6 percent from the previous quarter, and the feature phone market totaled USD 13.87 million, up 6.7 percent.

Due to supply shortages and high levels of inventory carried over from the first quarter, smartphone shipments to the GCC were more constrained than expected in Q2, said a senior analyst at IDC Akash Balachandran, quoted by Telecompaper.com. 

In Q2, Saudi Arabia, which is the largest smartphone market in the GCC with a 55.3 percent share, suffered a decline in shipments of 2.3 percent QoQ. Shipments to the UAE, its second-largest market, fell 18.6 percent quarter-on-quarter.

Samsung dominated the GCC smartphone market in Q2 with a share of 44.9 percent, according to IDC. 

Apple (17.0% share) saw shipments fall 8.8% QoQ as older models were discontinued and fewer shipments of the iPhone 11 model were made.

 Xiaomi finished third (14.7% share) and suffered a 5.0 percent decline in shipments from QoQ to QoQ due to supplies being directed to large markets outside the GCC.

IDC predicts a 9.4 percent decline in shipments QoQ for the GCC smartphone market in Q3.