Apple Continues to Struggle in India as iPhone Sales Drop 35 Percent in 2016 - MacRumors
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 MacBook Pro with PROLED XDR Display family lineup feature

Apple Announces OLED MacBook Pro With Touch Display

Wednesday October 28, 2026 10:11 am PDT by
Apple today announced a new high-end MacBook Pro, which is available in 14-inch and 16-inch sizes. The new device has a PROLED XDR display that supports touch gestures, and a glowing rear Apple logo. Pricing on the MacBook Pro starts at $2,899 for the 14-inch model and $3,399 for the 16-inch model. Apple says the MacBook Pro has the "world's best display in a pro laptop." The PROLED...
Apple MacBook Pro 14 in with M6 hero

Apple Announces New 14-Inch MacBook Pro With M6 Chip

Tuesday October 27, 2026 6:01 am PDT by
Apple today announced a refreshed 14-inch MacBook Pro featuring the M6 chip, upgraded connectivity specifications, and more. The M6 chip in the MacBook Pro features a 12-core CPU with 2 super cores, 4 performance cores, and 6 efficiency cores, paired with a 12-core GPU. This is up from the M5 chip with a 10-core CPU with 4 super cores and 6 efficiency cores, paired with a 10-core GPU. M6...

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
14 New Things Your iPhone Can Do in iOS 27.2
14 New Things Your iPhone Can Do in iOS 27.2
41 minutes ago
iPhone Duo Review: One Week Later
iPhone Duo Review: One Week Later
2 hours ago
Samsung Mocks iPhone Duo Display Cracks in New Ad Campaign
Samsung Mocks iPhone Duo Display Cracks in New Ad Campaign
3 hours ago
The MacRumors Show: OLED MacBook Pro, iPad Mini 8, and More
The MacRumors Show: OLED MacBook Pro, iPad Mini 8, and More
4 hours ago
MacBook Pro With Touch Display: 15 More Details Revealed
MacBook Pro With Touch Display: 15 More Details Revealed
4 hours ago
Russia Places Apple on State Surveillance Registry
Russia Places Apple on State Surveillance Registry
5 hours ago
Halloween Weekend Brings Discounts on Apple Accessories and Pre-Orders
Halloween Weekend Brings Discounts on Apple Accessories and Pre-Orders
6 hours ago
Apple Has Released More Than 25 New Products in the Past Two Months
Apple Has Released More Than 25 New Products in the Past Two Months
6 hours ago
Local Code Launches as Free, Private AI Assistant Tool for Mac
Local Code Launches as Free, Private AI Assistant Tool for Mac
7 hours ago
Apple Acquires Ascend.io
Apple Acquires Ascend.io
7 hours ago
HomePod Mini 2 Launches Today: All the New Features
HomePod Mini 2 Launches Today: All the New Features
8 hours ago
AirTag 2 4-Pack Drops to New Low Price of $69.99
AirTag 2 4-Pack Drops to New Low Price of $69.99
8 hours ago
Rian Johnson's iPhone Camera App Goes Viral
Rian Johnson's iPhone Camera App Goes Viral
8 hours ago
Where Did All the iPhone Duos Go? Mostly to Apple's Stores
Where Did All the iPhone Duos Go? Mostly to Apple's Stores
10 hours ago
Apple's Touchscreen MacBook Pro Could Ship 1.5M Units in 2027
Apple's Touchscreen MacBook Pro Could Ship 1.5M Units in 2027
11 hours ago
New Apple TV 4K and iPad Mini: RAM Amounts Revealed
New Apple TV 4K and iPad Mini: RAM Amounts Revealed
20 hours ago
Apple Executive Comments on New iPad Mini Lacking 120Hz Display
Apple Executive Comments on New iPad Mini Lacking 120Hz Display
1 day ago
Here's a Hands-On Look at HomePod Mini 2's New Two-Tone Colors
Here's a Hands-On Look at HomePod Mini 2's New Two-Tone Colors
1 day ago
Apple Lowers App Store Fees in Taiwan Starting October 31
Apple Lowers App Store Fees in Taiwan Starting October 31
1 day ago
HomeView Pre-Order Returns to $289.99 on Amazon
HomeView Pre-Order Returns to $289.99 on Amazon
1 day ago
Apple Avoids Showing Pinched Fingers on iPad Mini Page in South Korea
Apple Avoids Showing Pinched Fingers on iPad Mini Page in South Korea
1 day ago
Old 'Popcorn Time' App Left Hundreds of Thousands of Macs at Risk
Old 'Popcorn Time' App Left Hundreds of Thousands of Macs at Risk
1 day ago
You Can Turn Off the New MacBook Pro's Touchscreen Functionality
You Can Turn Off the New MacBook Pro's Touchscreen Functionality
1 day ago
MacBook Pro Mini-LED vs. OLED Buyer's Guide: Every Difference
MacBook Pro Mini-LED vs. OLED Buyer's Guide: Every Difference
1 day ago
Where to Pre-Order Apple's New MacBooks, iPad Mini, and iMac
Where to Pre-Order Apple's New MacBooks, iPad Mini, and iMac
1 day ago
Apple Releasing HomePod Mini 2 Tomorrow With These New Features
Apple Releasing HomePod Mini 2 Tomorrow With These New Features
1 day ago
How macOS Adapts Its Controls for Touch on the New MacBook Pro
How macOS Adapts Its Controls for Touch on the New MacBook Pro
1 day ago
Just Got an iPhone Duo? Try These Features First
Just Got an iPhone Duo? Try These Features First
1 day ago
Apple Announced Scott Forstall's Departure 14 Years Ago Today
Apple Announced Scott Forstall's Departure 14 Years Ago Today
1 day ago
Best Buy Opens Pre-Orders for PROLED XDR MacBook Pro With $100 Bonus Gift Cards
Best Buy Opens Pre-Orders for PROLED XDR MacBook Pro With $100 Bonus Gift Cards
2 days ago