TECH

Canalys/Omdia: smartphone sales fall more in Europe than in the rest of the world

Europe was the region with the sharpest decline in smartphone sales during the first six months of the year, and the outlook for the near future is not bright. Among the manufacturers, Samsung stands out.

In the second quarter of this year, smartphone sales in Europe fell 9% to 28.7 million units, making it the region with the worst sales performance globally. The data, compiled by Canalys, part of the Omdia group, once again points to demand constraints associated with economic uncertainty as the main factor behind the subdued demand for new devices in the region.

"Players in the European smartphone industry had a difficult first half of 2025, marked by weak consumer demand and conservative inventory strategies," highlights Aaron West, senior analyst at Omdia.

The consultancy also highlights the impact of the ecodesign directive, which came into effect in June but has already influenced the European market and the sales of players operating in the region in the months leading up to it. Several operators began purchasing only devices that comply with the new rules early.

Canalys/Omdia also notes that, although 87% of sales in the quarter went to the five largest manufacturers, competition remains fierce and is especially strong in brands' indirect sales channels, such as operators. They continue to be strong partners in this area and continue to pressure margins.

The outlook for the second half of the year is more encouraging. Sales are expected to increase, but a more significant recovery is only expected in 2026. "The European smartphone market is going through a difficult period, but we expect growth to return in 2026, driven by the replacement of low-cost devices and the maturation of AI offerings." However, Canalys/Omdia estimates that the smartphone market will grow no more than 1.7% by 2029.

By manufacturers, Samsung maintained its sales leadership in Europe and a 36% market share. It sold 10.3 million units in the quarter, a figure that secured its top spot in sales, despite representing a 10% drop compared to the same period last year.

One of the factors contributing to the South Korean manufacturer's weaker performance in Europe was reportedly the inability to sell its new Galaxy A06 in the region, as it did not meet the requirements of the new eco-design standard.

Apple was the second-highest-selling smartphone manufacturer between April and June in Europe and also saw a 4% drop in unit sales compared to the same period last year, to 6.9 million units shipped to stores.

Xiaomi rounded out the top three, also down 4%, with 5.4 million units sold, saved by a sales increase of approximately 50% in Italy, which offset losses in other markets in the region. Motorola and Honor appear in the following positions, with shares of 18% and 11%, respectively, corresponding to 1.5 million and 900 thousand smartphones shipped.

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