Apple’s smartphone sales in China fell sharply in the final quarter of 2024, hurt by the popularity of local rivals like Huawei and others expanding into the premium market, according to a closely followed research firm.

Huawei is working on gaining a large part of the AI market in China, which is currently led by Nvidia. It offers local companies the ability to use their AI chips for “inference” tasks. To “train” LLMs,

Huawei has reclaimed the top spot in China’s smartphone market, according to a report by Counterpoint. That’s a big milestone for the Chinese tech giant, which had been struggling in recent years due to US sanctions.

In China, Apple’s second largest market, iPhone sales fell 18% in the December ending quarter, according to Bloomberg.

According to Counterpoint Research, Apple was unable to gain market share in China with the iPhone 16. This helps local manufacturers.

Huawei has been the top smartphone brand with a strong 18.1% market share in Q4 2024 in China, ahead of Xiaomi with 17.2% and Apple at 17.1%, noted the Counterpoint’s Market Pulse Service

Apple has experienced a significant decline in iPhone sales in China, dropping from the leading position to third place in the

Apple's iPhone sales in China reportedly took a tumble at the end of 2024, with a considerable reduction in sales putting it in a dead heat with homegrown Xiaomi.

Two of the world’s leading market intelligence firms report that the iPhone has lost its place as the best-selling