Samsung is reportedly cutting its smartphone production to 220 million as lowered demand has severed the company’s hopes of retaining the global leader in shipments. With Apple preparing for its iPhone launch in September, one analyst believes if the technology giant maintains the same momentum, it could end up becoming the biggest smartphone maker in the world.
Samsung’s 2024 outlook remains conservation, according to analyst, with Apple estimated to have a shipments target of 250 million for next year
Assuming Apple can ship a total of 220-225 million iPhones in 2023, analyst Ming-Chi Kuo believes the firm will become the largest smartphone brand. Even in 2024, Kuo states that the estimated shipment target is 250 million, and with its new position, iPhone growth could reach 5-10 percent year-over-year. When talking about Samsung, the TF International Securities analyst predicts that the Korean firm has a conservative outlook for 2024, implying that it may not regain the lost ground next year.
“Apple’s latest iPhone shipment target for 2024 is 250 million units, and a reasonable 2024 iPhone shipment estimate, from my view, could reach 5–10% YoY. Since Samsung’s internal view of 2024 market demand is still conservative, Apple will likely remain the largest smartphone brand in 2024.”
While the title of the world’s largest smartphone brand is definitely within Apple’s reach, there are certain challenges that the California-based giant needs to tackle. For instance, iPhone 15 shipments are said to witness a reduction due to lowered demand, though Kuo still believes that even with a conservative prediction, the company could ship up to 80 million units by the end of 2023.
However, reports are stating that the iPhone 15 Pro and iPhone 15 Pro Max will be delayed due to supply issues, and it is possible that TSMC is also experiencing hiccups producing sufficient A17 Bionic quantity for Apple to materialize the position of the world’s largest smartphone marker. Fortunately, Kuo reports that Apple can offset the iPhone 15 Pro and iPhone 15 Pro Max delay by increasing the production of legacy models. With this increase, Apple is predicted to witness a bump in its stock price and a rebound opportunity in the short term.
News Source: Ming-Chi Kuo