India’s smartphone market peaks as iPhone 16 leads shipments
- ByStartupStory | November 18, 2025
India’s smartphone market hit a five-year high in the third quarter of 2025, with shipments reaching 48 million units, marking a 4.3% year-over-year growth, according to IDC. Apple emerged as a key driver of this growth, with the iPhone 16 becoming the most-shipped smartphone in India during this period, accounting for 5% of total market shipments. The newly launched iPhone 17 series and iPhone Air also contributed strongly, making up 16% of Apple’s shipments in Q3 2025—the company’s best launch-quarter performance since 2021.
Apple’s strong performance helped it secure the fourth spot in India’s smartphone market for the first time, bolstered by steady demand for both new and existing models. The company’s growth was driven by increased shipments in smaller cities and aided by local assembly under India’s Production-Linked Incentive (PLI) scheme, which improved pricing competitiveness.
At the same time, the mid-premium smartphone segment experienced significant growth, while entry-level device demand weakened. This shift reflected a broader trend of consumers moving up the value chain, favoring premium and higher-specification devices. Offline retail channels showed robust growth, with shipments through physical stores rising about 22% year-on-year, supported by festive promotions and flexible financing. However, online channel shipments fell 12%, aligning with weaker entry-level Android demand.
Despite the strong Q3 showing, IDC forecasts a potential decline in overall smartphone shipments for Q4 2025 due to inventory build-up and rising component costs, potentially leading to an annual contraction in India’s smartphone shipments below 150 million units. Average selling prices rose to a record $294 in Q3, reflecting strong demand for high-end products.
In summary, India’s smartphone market peaked in Q3 2025 driven by Apple’s iPhone 16 leadership and a rising preference for premium devices, setting new records amid a shifting consumer landscape.
This data highlights how Apple’s focused strategy and locally adapted production are reshaping India’s competitive smartphone market landscape.
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