Chinese mobile maker Xiaomi has experienced a significant decline in market share, falling out of the top five smartphone sellers in India during the January to March quarter of 2025.
According to data from IDC, Xiaomi ranked sixth in India after witnessing a 42% year-on-year decrease in shipments in the first quarter of 2025. This decline has eroded the company's market share to 7.8%, a notable drop from the 12.8% share it held in the same period last year (Q1 2024). In contrast, its rivals have seen their market share increase. Vivo emerged as the market leader with a 19.7% share in the first quarter, marking a significant 14.6% growth compared to the previous year.
Samsung secured the second position, slightly improving its market share by just under 1%. Oppo captured the third spot with a 12% market share, up from 10.2% in the first quarter of 2024. Another Chinese brand Realme also saw positive growth, increasing its market share by 2.2% to reach 10.6%.
Apple registered the highest growth among the top five, with its market share rising by 23.1% to 9.5% in India. Apple registered the highest YoY growth of 23% among the Top 5 brands, shipping a first-quarter record of three million units in Q1of 2025. The iPhone 16 was the highest shipped model, accounting for 4% of overall India shipments during the quarter.
Xiaomi entered the Indian market in 2014, and it grew significantly due to pocket-friendly and value-for-money devices. Initially, the company mainly focused on the online market. Such was the craze for its devices that they used to sell out in 15 minutes during flash sales.
One of the reasons for the slowing down of Chinese mobile maker Xiaomi is that it has faced significant legal tensions in India in recent years, primarily revolving around allegations of financial irregularities. The Enforcement Directorate (ED), India's financial crime agency, has been investigating Xiaomi Technology India Pvt Ltd for alleged violations of the Foreign Exchange Management Act (FEMA) of 1999. The ED accused Xiaomi India of illegally remitting ₹5,551.27 crore (approximately $680 million at the time) to three foreign-based entities, including one Xiaomi Group entity, under the guise of royalty payments.
India’s smartphone market shipped 32 million smartphones in Q1 of 2025, with a 5.5% decline YoY (year-over-year), making it the second consecutive quarter of decline in shipments. Weak consumer demand and surplus inventory from the previous quarter continue to pose challenges.
“The first two months of the year saw fewer launches, with brands focusing on offering retail support, discounts, and price drops on older models to clear inventory. However, new launches picked up in March across price segments with enhanced marketing activities to drive demand,” said Aditya Rampal, senior market analyst, Devices Research, IDC Asia Pacific.