Apple continued to dominate the premium smartphone market in the first half of 2025, even as competition intensified. The iPhone accounted for more than 62% of premium segment sales, helping the market reach a new record high. Premium devices, defined as smartphones priced above $600, are increasingly driving global growth as consumers upgrade for better performance, longevity, and new AI-driven features.
According to Counterpoint Research, global premium smartphone unit sales grew 8% year-over-year in H1 2025, marking the strongest first half ever recorded for this segment. The overall smartphone market grew by only 4% in the same period, highlighting how the iPhone and other flagship devices continue to outperform entry-level and midrange models. Premium smartphones also generated more than 60% of industry revenues during this period, showing their strategic importance to the entire ecosystem.
Apple grew 3% year-over-year in the premium segment, driven by gains in emerging markets such as India, where iPhone adoption surged thanks to easier financing options. However, Apple’s overall share declined slightly compared to last year as rivals including Huawei and Xiaomi posted faster growth in China. Huawei strengthened its position with innovative designs like the tri-fold Mate XT, while Xiaomi surged 55% year-over-year, boosted by the halo effect of its new premium EV business and stronger IoT ecosystem.
Samsung remained the closest competitor to Apple, recording 7% growth in the segment. Its Galaxy S25 series outperformed the S24 lineup, and the Galaxy Z Fold7 is expected to add further momentum. Google also returned to the top five premium brands for the first time in five years, doubling its sales through the success of the Pixel 9 series and a stronger focus on AI-first positioning.
India emerged as Apple’s strongest growth story in H1 2025, with the market expanding 37% year-over-year and the iPhone leading the premium segment. In contrast, China remained more competitive, where Apple ceded some share to Huawei and Xiaomi despite being the largest contributor in absolute volume.
Looking ahead, Apple’s entry into the foldable market in 2026 could reshape the category, which has been growing steadily as a niche but strategic segment for premium brands. Apple’s focus on hardware-software integration, combined with its ongoing push into generative AI features, positions the iPhone to remain the most influential device in the premium smartphone market. With more than 80% of premium smartphones sold in H1 2025 already being GenAI-capable, Apple’s strategy will likely emphasize not just hardware differentiation but also ecosystem-driven AI innovation.
The iPhone remains central to premiumization worldwide, and while rivals are gaining momentum, Apple continues to set the standard in the segment that defines the future of smartphones.
