India’s smartphone market declined by 20% year-over-year to a decadal low in the third quarter of 2026, triggered by a spike in mobile device costs due to record-high memory chip prices, according to a Counterpoint Research report published on Friday.

India’s smartphone market is expected to shrink by around 13% in 2026, with continued pricing pressure weighing on affordability and replacement demand, predicts Tarun Pathak, research director, Counterpoint Research.

“India’s smartphone shipments fell 20% YoY in Q3 2026 (July–September) to their lowest level in a decade. Record-high memory prices drove up device costs, pulling down shipments for most brands. Amid persistently soft demand, OEMs held back on channel inventory, even ahead of the festive season,” the market research firm said.

The change in market dynamics led to Samsung reclaiming the top spot in the segment with 17% market share while Chinese players recorded a decline in supplies.

“With a 17 per cent share in Q3 2026, Samsung reclaimed the top spot in the market after nine quarters. The Galaxy A series drove volumes, supported by the brand’s balanced online and offline strategy. Samsung's relatively measured price hikes and proactive management of rising memory costs helped it outperform the overall market,” the report said.

Indian brands led by Ai+ Smartphone regained market share during the reported quarter on a year-over-year basis to 15%, up from 3% in the September 2025 quarter.

“Ai+ Smartphone was the fastest-growing brand in Q3 2026, recording 306 per cent YoY shipment growth, supported by an expanded product portfolio and increasing market presence,” the report said.

Source link