Apple Continues to Struggle in India as iPhone Sales Drop 35 Percent in 2016 - MacRumorsOpen MenuShow RoundupsShow Forums menuVisit ForumsOpen Sidebar
Skip to Content

Apple Continues to Struggle in India as iPhone Sales Drop 35 Percent in 2016

Despite India's overall healthy growth in the smartphone market -- currently sitting as the third largest behind China and the United States -- Apple is having a tough time gaining ground in the country. According to a new report from Strategy Analytics, Apple saw a drastic percentage dip in iPhone users from 2015 to 2016, with 35 percent fewer iPhone devices sold this year. Earlier in May, Apple CEO Tim Cook admitted iPhones are too expensive in India, potentially harming the company's sales figures as it tries to grow.

In its new report, the market research firm said that Apple sold just 800,000 handsets in Q2 2016, while in the same year-ago quarter the company sold 1.2 million units. These deflating sales numbers rippled into Apple's operating system marketshare in India, essentially getting halved down from 4.5 percent in Q2 2015 to 2.4 percent in Q2 2016. Director of Strategy Analytics, Woody Oh, pointed out a few ways Apple might go about course correcting its current struggles in the country, including the ongoing saga of boosting its retail presence in India.

iPhone-6s-main

“Apple iOS fell 35 percent annually and shipped 0.8 million smartphones in India in Q2 2016. Apple’s smartphone marketshare has halved from 4 percent to just 2 percent in India during the past year. Apple iOS will need to reduce iPhone pricing to cheaper levels, attract more operator subsidies and enlarge its retail presence through Apple stores or online channels if it wants to regrow significantly in the future.”

Apple Stores aren't as ubiquitous in India as they are in other parts of the world thanks to the country's rules on foreign direct investments, which required 30 percent of goods sold by a foreign company to be manufactured or produced within India. Thankfully, after a ruling in June cleared the way for companies to circumvent that law, Indian Prime Minister Narendra Modi set a precedent by granting Apple a three-year extension on the strict local-sourcing rule, due to its single-brand retail company status selling "cutting-edge technology." Companies similar to Apple are expected to get similar treatment.

While the relaxation of these rules should help Apple moving forward, it doesn't change the fact that Android remained the dominant force in India this year. In total, 29.8 million Android smartphones shipped within the country in Q2 2016, growing from 23.2 million in the same quarter last year. Similarly, Google's Android operating system remained the dominant force in the Indian mobile market with a record 97 percent hold for the quarter, increasing from 90 percent a year ago.

Apple's retail future in the country might be turning around, but the company is still hitting smaller roadblocks on its route to increasing sales figures in India. In May, Commerce and Industry Minister Nirmala Sitharaman ruled "not in favor" of a proposal laid out by Apple to sell used iPhones in the country. Thanks to Apple's repeated growth frustrations, Strategy Analytics said that Android's domination of the Indian smartphone market "looks unbeatable right now, due to its deep portfolio of hardware partners, extensive distribution channels, and a wide range of low-cost apps like Gmail."

Tag: India

Popular Stories

airpods 5 india

Apple Launches Special Edition AirPods 5 in India

Monday October 12, 2026 3:28 am PDT by
Apple is marking India's festive diwali season with a limited edition of the AirPods 5, featuring a rangoli-inspired engraving. The case's design draws on the traditional Indian art form, arranging a decorative pattern around a heart-eyes emoji. The earbuds cost ₹17,900 (approximately $187), matching the Indian price of the regular AirPods 5 with Wireless Charging Case. The celebrations ...
apple pro tell logo

Apple Launching Five New Products Today

Thursday November 5, 2026 12:59 am PST by
Apple is launching five new products on Friday, November 6, following pre-orders that opened last week, including its first touchscreen MacBook Pro models. The following new products will be available from today: iPad mini with OLED display and A20 Pro chip iMac with M6 chip 14-inch MacBook Pro with M6 chip 14-inch MacBook Pro with OLED touchscreen 16-inch MacBook Pro with OLED...
duo aquarium

More Fun iPhone Duo Apps: 30 New Picks to Try

Friday November 6, 2026 3:27 pm PST by
When the iPhone Duo launched, we shared a list of some of the fun apps developers created for the new form factor. Two weeks out, developers are continuing to come up with fresh ideas, so we thought we'd share some of our favorites. Games Marbles Unhinged ($2.99) - Marbles Unhinged is a marble maze designed for the Duo. When you fold it, the floor turns into a ramp. If you stand the top...

Top Rated Comments

134 months ago
That's the problem when selling a thousand dollar phone in a country where most people struggle to eat everyday.
Score: 29 Votes (Like | Disagree)
Kobayagi Avatar
134 months ago
"Earlier in May, Apple CEO Tim Cook ('https://www.macrumors.com/roundup/tim-cook/') admitted iPhones are too expensive in India ('https://www.macrumors.com/2016/05/24/iphones-too-expensive-india-apple-tim-cook/'), potentially harming the company's sales figures as it tries to grow."

Does this mean they're a bargain in the rest of the world? I think not. Just wait till they add the "Pro" name and make them even more expensive. ;)
Score: 27 Votes (Like | Disagree)
134 months ago
don't know about india, but apple obviously can't give us something new. I just can't wait to skip iPhone 7...
Score: 19 Votes (Like | Disagree)
nope7308 Avatar
134 months ago
Good.

Apple needs to be knocked down a peg or two. Resting on their laurels a little too much, if you ask me (and even if you don't).
Score: 17 Votes (Like | Disagree)
BvizioN Avatar
134 months ago
That's what usually happens when you get lazy!
Score: 17 Votes (Like | Disagree)
134 months ago
Not Surprised. Apple no longer innovates... i'm a long time apple user but damn...of late Apple is really just so disappointing with their products and practices
Score: 15 Votes (Like | Disagree)
Latest Stories
Siri AI Rumored to Become 'More Like an Agent' as Early as Next Year
Siri AI Rumored to Become 'More Like an Agent' as Early as Next Year
5 hours ago
Apple Taking New Approach to Developing iOS 28 and macOS 28
Apple Taking New Approach to Developing iOS 28 and macOS 28
6 hours ago
Early Apple Black Friday Deals on Apple Watch, MacBook Air, and More
Early Apple Black Friday Deals on Apple Watch, MacBook Air, and More
1 day ago
'Backglow' Lets You Customize New MacBook Pro's Glowing Apple Logo
'Backglow' Lets You Customize New MacBook Pro's Glowing Apple Logo
1 day ago
Top Stories: Apple Product Launches, iOS 27.3 Beta, and More
Top Stories: Apple Product Launches, iOS 27.3 Beta, and More
1 day ago
More Fun iPhone Duo Apps: 30 New Picks to Try
More Fun iPhone Duo Apps: 30 New Picks to Try
2 days ago
Hands-On With Apple's New OLED Touchscreen MacBook Pro
Hands-On With Apple's New OLED Touchscreen MacBook Pro
2 days ago
Apple Store With All-New Design Opening Soon in Southern California
Apple Store With All-New Design Opening Soon in Southern California
2 days ago
Control the Glowing Apple Logo on Your New MacBook Pro
Control the Glowing Apple Logo on Your New MacBook Pro
2 days ago
Apple Shares New 'Apple Card: Apply and Use in Minutes' Ad
Apple Shares New 'Apple Card: Apply and Use in Minutes' Ad
2 days ago
Apple Says More Than 100,000 Apps Optimized for iPhone Duo, Here's What's Still Missing
Apple Says More Than 100,000 Apps Optimized for iPhone Duo, Here's What's Still Missing
2 days ago
Early Black Friday Deals Kickoff With Steep Discounts on Apple Watch Ultras and More
Early Black Friday Deals Kickoff With Steep Discounts on Apple Watch Ultras and More
2 days ago
The MacRumors Show: iOS 27.3 Looks Like a Huge Update
The MacRumors Show: iOS 27.3 Looks Like a Huge Update
2 days ago
Best Buy's Black Friday Event Begins With Sitewide Savings on Apple, TVs, More
Best Buy's Black Friday Event Begins With Sitewide Savings on Apple, TVs, More
2 days ago
Apple Releasing Yet Another Two New Products Next Week
Apple Releasing Yet Another Two New Products Next Week
2 days ago
MacBook Air Drops to Lowest Price in Months With Amazon's $250 Discount
MacBook Air Drops to Lowest Price in Months With Amazon's $250 Discount
2 days ago
Apple Rumored to Drop the iPhone's Action Button Next Year
Apple Rumored to Drop the iPhone's Action Button Next Year
2 days ago
Apple's Extended Return Policy Now in Effect for 2026 Holiday Season
Apple's Extended Return Policy Now in Effect for 2026 Holiday Season
2 days ago
Apple Music Classical Updated With New Icon and Refreshed Design
Apple Music Classical Updated With New Icon and Refreshed Design
2 days ago
OLED iPad Mini, M6 iMac, and New MacBook Pros Available From Today
OLED iPad Mini, M6 iMac, and New MacBook Pros Available From Today
2 days ago
Apple Surveys iPhone Duo Buyers About Crease and Camera
Apple Surveys iPhone Duo Buyers About Crease and Camera
3 days ago
Apple's First Touchscreen Mac is Now Arriving to Customers
Apple's First Touchscreen Mac is Now Arriving to Customers
3 days ago
Claude Gets Personal Finance Feature With Bank Account Linking
Claude Gets Personal Finance Feature With Bank Account Linking
3 days ago
Apple Arcade Adds Crossy Road Rush and NBA 2K27
Apple Arcade Adds Crossy Road Rush and NBA 2K27
3 days ago
Apple's New HomeView Smart Home Hub: Here's How Much RAM It Has
Apple's New HomeView Smart Home Hub: Here's How Much RAM It Has
3 days ago
iPad Mini vs. iPad Air Buyer's Guide: Now Just $50 Apart
iPad Mini vs. iPad Air Buyer's Guide: Now Just $50 Apart
3 days ago
First iOS 27.3 and macOS Golden Gate 27.3 Public Betas Now Available
First iOS 27.3 and macOS Golden Gate 27.3 Public Betas Now Available
3 days ago
Apple Announces a New Mac Sales Record
Apple Announces a New Mac Sales Record
3 days ago
Paid $200 for Logic Pro? Apple Says You Won't Get This New Feature
Paid $200 for Logic Pro? Apple Says You Won't Get This New Feature
3 days ago
Instagram's Edits Video Editor is Now Available on Mac
Instagram's Edits Video Editor is Now Available on Mac
3 days ago