FRAMINGHAM, MA – Worldwide smartphone assembly shipment volumes in the second quarter were up 11.9% sequentially, with total shipments of 332.6 million, according to International Data Corp.

The gains were due to inventory decreasing in the first quarter and vendors competing for market share, says IDC.

"Falling inventory, combined with increased competition, caused global smartphone production to increase 11.9% (QoQ) in 2Q19," said Sean Kao, senior research manager with IDC's Worldwide Smartphone ODM Research Group. "However, a more pessimistic outlook on the global economy due to the US-China trade war has led to a production drop in June. As a result, worldwide smartphone assembly shipment volumes showed a year-over-year decrease of 3.5%."

Due to ODM policy and partner changes from Huawei, OPPO, and Xiaomi, the ranking and market share of Chinese EMSes have improved significantly. The market share of Chinese smartphone ODM/EMS assembly shipment volumes increased from 40.7% in the first quarter to 51.3% in the second quarter.

IDC expects smartphone ODM/EMS assembly volumes to slow in July and August as a result of Samsung and Huawei lowering regional market targets, combined with high inventory and the US-China trade war.

 

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