Apple’s performance in China has been a major concern, especially following a decline in iPhone shipments. In the fourth quarter of 2024, iPhone shipments fell by 25%, leading to a drop in market share from 19% to 15%. This downturn reflects the increasing competition from local Android manufacturers such as Huawei and Xiaomi, who offer more affordable and competitive alternatives to Apple’s premium-priced products. Additionally, rising nationalism in China has further fueled the preference for domestic brands. The Chinese market, being one of the largest for smartphones globally, represents a significant challenge for Apple’s growth strategy.
For further insights on how these challenges affect Apple’s stock and future outlook, you can check out the full article on Apple stock downgrade.