According to Counterpoint's US Channel Share Tracker report, the US smartphone market grew 9% year-over-year in Q2 2025, primarily driven by robust performance from the three major carriers. Benefiting from summer promotional campaigns, smartphone sales at AT&T (T.US), T-Mobile (TMUS.US), and Verizon (VZ.US) stores increased 16%, 20%, and 12% year-over-year, respectively. All major carriers saw improvements in upgrade rates, with executives widely attributing this to aggressive promotional activities. Driven by these strong promotional campaigns, high-end device sales grew 11% year-over-year.

US Carrier Smartphone Sales Comparison (in millions) Q2 2024 vs Q2 2025 Source: Counterpoint Research

With average selling prices rising 2% and unit sales growing 9%, Q2 smartphone revenue increased 11% year-over-year to $17.5 billion. The average selling price of smartphones in the US reached $647.53 during the quarter, up from $632.59 in the same period last year, primarily driven by the 11% growth in high-end model sales. However, influenced by strong sales of the iPhone 16e and Google Pixel 9a's early launch in 2025, sales in the $300-599 price segment surged 48% year-over-year, partially offsetting the growth from premium devices.

Driven by iPhone 16e marketing and sales, Apple (AAPL.US) sales increased 10% year-over-year, benefiting from aggressive carrier promotions throughout the quarter, including Verizon's Red Hot Deal Days and T-Mobile's port-in campaigns (eligible consumers could receive a free iPhone 16 Pro without trade-in requirements). Verizon also reported that its "Best Value Promise" succeeded in maintaining customer relationships and driving smartphone upgrades.

Samsung smartphone sales grew 16% year-over-year, benefiting from increased market demand for flagship models and similar carrier promotional activities as iPhone. Additionally, the S25 Edge launched in late May contributed to Samsung's slight sequential sales growth through increased sales and marketing investments.

HMD sales plummeted 41% year-over-year, with the company announcing its exit from the US market. Its share in the low-end smartphone market is expected to be quickly captured by competitors. The brand's existing inventory is anticipated to sell out in the coming months, after which it will completely withdraw from the local smartphone business.

Counterpoint Research Director Jeff Fieldhack noted: "This will provide an opportunity for various brands to fill the gap left by HMD in the low-end market. Brands like Motorola and TCL currently hold advantages in meeting the needs of HMD's target customer base."