From January to March 2025, smartphone shipments in India fell by 7%. The decline was noticeable across various price segments, especially in mid-range phones priced between ₹7,000 and ₹25,000, which saw a 6% decrease. Even premium phones above ₹25,000 showed limited growth.
One major shift observed is the growing popularity of 5G smartphones. According to CMR, 5G devices made up 86% of all smartphone sales in Q1 2025. Interestingly, phones priced between ₹8,000 and ₹13,000 showed a 100% shift towards 5G, indicating that more users are choosing affordable 5G phones.
This increase is driven by brands like Xiaomi, Poco, Motorola, and Realme, which offer budget-friendly 5G models. Consumers now prefer better speed and future-ready technology, leading to a steep decline in demand for older 2G and 4G phones.
Vivo claimed the top position in the Indian market with a 20% growth in market share. Five of its 5G models—Y29, T3 Lite, T3X, T4X, and another unnamed device—together captured 43% of total 5G sales. This strong portfolio helped Vivo stand out among competitors.
Samsung followed Vivo with an 18% market share. However, despite holding second place, Samsung experienced a 13% drop in sales of some of its popular models.
Xiaomi faced a sharp fall in performance. Its market share dropped by 13% compared to last year. The decline is mostly due to a significant reduction in sales of 2G and 4G models. 2G phone sales dropped by 17%, while 4G phones saw a massive 66% decline. Xiaomi’s slow transition to affordable 5G devices may have contributed to this setback.
Looking ahead, the smartphone market in India is expected to continue shifting towards 5G technology. As consumer preferences evolve and 5G network coverage expands, older generation phones (2G, 4G) may become obsolete. Brands that adapt quickly and offer budget 5G phones are likely to dominate the market in the coming quarters.
While the overall market is shrinking, the demand for 5G phones is growing rapidly. Vivo has taken the lead by understanding market trends and offering strong 5G options at various price points. The competition will likely heat up as other brands try to catch up in the 5G race.
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