The Middle East Smartphone Market Surged 21% YoY with Apple enjoying their biggest growth in Qatar
According to a new analytical report posted today, smartphone shipments in the Middle East (excluding Turkey) reached 12.0 million in Q3 2023, with a notable 21% annual growth surge tripling Q3 2023. This was thanks to unwavering domestic demand, with businesses noting an increase in both their consumer bases and job opportunities. Despite falling oil prices, the non-oil sector continued to make significant contributions.
In Q3 2023, Saudi Arabia soared with strong 46% year-on-year growth in smartphone shipments, driven by increasing demand for entry-level models. Despite immediate hurdles, government spending is poised to uphold economic diversification.
Shipments in the United Arab Emirates rose by a modest 2%, fueled by an expat and tourist influx, and received positive momentum from investors, consumers and the private sector.
Iraq continued its strong momentum with 57% growth, thoght it was driven by demand for sub-US$150 phones. Iraq was the only Middle Eastern country that Apple missed the top five OEMs list as presented below.
(Click on the graphic below to Enlarge)
In Saudi Arabia and UAE, Apple came in second with +6% and + 8% respectively. Apple came in third place in Qatar and Kuwait with +29% and +5% respectively.
In the big picture, demand for Apple and Samsung devices remain high as they're viewed as lucrative investments due to high resale value. Meaning that Apple is doing well in the premium smartphone space.
Although on paper China's TRANSSION grew by 130% to grab second place in Q3 2023, it's primarily based on their bargain basement pricing with most models selling for under $100, which of course makes them feature phones.
To be fair, "feature" phones from TRANSSION shouldn't be mixed in with premium smartphone makers like Samsung and Apple. Who would list a Volkswagen Beetle in a category with cars from Lamborghini and Aston Martin? It's a weird decision by Canalys to create such a list as it distorts the smartphone category. There are smartphones and there are feature phones and they're in no way the same.
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