NEW DELHI: India’s smartphones market has opened 2026 on a weak note, recording its slowest start in six years as shipments slipped 3% year-on-year in the March quarter, according to Counterpoint Research. The decline may appear modest, but the underlying pressures suggest a more persistent demand slowdown.As per the report, smartphones are getting pricier, and consumers are holding on to their devices longer. A mix of rising component costs — especially NAND and DRAM — and currency fluctuations has pushed brands to raise prices across segments. On average, handset prices have climbed by over Rs 1,500, with the sub-Rs 15,000 segment taking the biggest hit.This is significant because entry-level and budget buyers form the backbone of India’s smartphone volumes. At the same time, as per the report, higher household spending is forcing consumers to prioritise essentials. “The market is facing a clear affordability squeeze, driven by sharp memory-led cost inflation and currency pressures that have forced OEMs to raise prices across key models,” said Pranit Shah, senior analyst, Counterpoint.

Vivo emerged as the market leader in Q1 2026 with a 21% share, supported by an expanded portfolio and strong offline distribution. Samsung came in second spot with 17% market share. Oppo held on to third place with 13.6% market share while Xiaomi (including sub-brand Poco) and Realme rounded up the top five list with 12.1% and 8.9% market share, respectively. Oppo, Vivo, Realme are owned by China-based BBK Electronics and now command close to 50% of the total market share. Apple’s market share in Q3, 2025 stood at 12% but dropped to 9% in Q4, 2026, despite premium segment faring better than budget and mid-range segment. London-based Nothing, including CMF, remained the fastest-growing smartphone brand in Q1 2026 with 47% YoY growth, while Google led the premium segment (Rs 45,000 and above), rising 39% YoY overall.The near-term outlook remains challenging. Analysts expect shipments to decline further in the June quarter, potentially in double digits, with full-year volumes projected to drop around 10%. Component costs continue to rise sharply, with memory chip prices alone surging multiple times over recent quarters, with further increases likely.