India smartphone shipments drop 7% in Q1 2025; Vivo and Apple lead growth as Xiaomi slumps

India’s smartphone shipments declined by 7% year-on-year in Q1 2025, reflecting shifting consumer demand and heightened competition, according to a new report by CyberMedia Research (CMR). While the overall market slowed, the demand for 5G-enabled and premium smartphones continued to surge, offering a silver lining to the industry.

Vivo emerged as the top smartphone brand with a 20% market share and also led 5G shipments with a 21% share. Apple, meanwhile, recorded a remarkable 25% YoY growth, strengthening its foothold in the premium and uber-premium segments, driven largely by the success of the iPhone 16 series.

Affordable 5G smartphones are rapidly gaining traction. Devices priced under ₹13,000 saw over 100% YoY growth, with the sub-₹10,000 5G segment alone jumping over 500%. Xiaomi, Poco, Motorola, and Realme led this charge. Motorola, in particular, stood out with 53% YoY growth due to its differentiated offerings and robust 5G portfolio.

However, not all brands fared equally well. Xiaomi experienced a steep 37% decline, the sharpest among the top five, while Samsung saw a 13% dip in the value-for-money category. In contrast, Oppo grew by 8%, and Nothing recorded an impressive 200%+ surge in shipments.

CMR anticipates modest single-digit growth for the smartphone industry in the coming quarters, shaped by rising adoption of affordable 5G, increased on-device AI capabilities, and localisation of manufacturing amid global geopolitical shifts.

"As the premium segment accelerates on the back of AI integration, brands that fail to evolve beyond price-based competition in the value-for-money segment will face margin and relevance pressures. Concurrently, affordable 5G is a growing baseline expectation, amidst intensifying competition. With geopolitical shifts accelerating local manufacturing, India is poised to become both a key market and a critical node in the global smartphone value chain," added Prabhu Ram, VP at CyberMedia Research (CMR).