Global smartphone shipments increased 1% to 295.2 million units in the second quarter, despite tariff concerns and macroeconomic uncertainty, according to preliminary data from research firm IDC.

Samsung shipped 58 million units in the quarter, the highest, led by sales of its new AI-enabled Galaxy A36 and A56 products.

WHY IT'S IMPORTANT

Demand in China declined in the second quarter, as subsidies failed to stimulate demand, with Apple AAPL.O seeing a 1% drop in the quarter.

Overall demand has tapered as consumers deprioritize spending on smartphones, especially in low-end segments.

Sellers have continued to push higher price points to make up for the slowdown in unit shipments by offering AI in more affordable devices, IDC said.

KEY QUOTES

"In the face of ongoing political challenges, the impact of war, and the complexities posed by tariffs, the 1% growth in the smartphone market stands as a critical indicator that the market is poised to return to growth," said Anthony Scarsella, research director for Client Devices at IDC.

"Economic uncertainty tends to compress demand at the lower end of the market, where price sensitivity is highest. As a result, low-end Android is witnessing a crunch weighing down overall market growth," said Nabila Popal, senior research director for Worldwide Client Devices.

BY THE NUMBERS

Global smartphone shipments grew 1% to 295.2 million units in the second quarter.

Samsung 005930.KS and Apple shipments increased 7.9% and 1.5% in the quarter, respectively.

CONTEXT

IDC had in May slashed its 2025 global smartphone shipment growth forecast to 0.6% from 2.3%, citing tariff-driven economic uncertainty and a pullback in consumer spending.

GRAPHIC

(Reporting by Juby Babu in Mexico City)

((Juby.Babu@thomsonreuters.com;))