New Delhi: India’s smartphone market has posted flat domestic shipments for the fourth successive year, even as exports have surged to a record $30 billion in 2025, a 47% rise from 2024. India’s domestic smartphone shipments have been hovering around the 150 million-unit mark, even as customers choose refurbished models over fresh, upgraded ones.
India’s smartphone market is showing signs of saturation, as India’s mobile handset market is undergoing a reset, with Original Equipment Manufacturers (OEMs) realigning their brand portfolios to cut costs and stand out. Many OEMs are integrating their sub brands and product series to offer economies of scale.
The challenge of standing out is expected to intensify as AI-led demand has reduced the supply of crucial RAM and storage components for smartphones. The trend has already started to show.
“The Indian smartphone market is projected to see a mid-single digit decline in Q4 2025. However, the dip was less severe than initially expected, as brands pushed shipments to hedge against upcoming price hikes,” Upasana Joshi, senior research manager at IDC India, told Moneycontrol.
Despite lower GST rates, smartphone shipments fell 8-10% year-on-year in the December quarter, with domestic shipments reaching 23-24 million units, compared with 36 million units a year ago, according to a report by Counterpoint.
For smartphone brands, the challenges will now hinge on execution strength and margin management, as rising input costs could give them limited headroom to increase prices.
