•    Japan’s smartphone sales grew 7% YoY in 2024, driven by economic recovery.
•    Apple continued to lead the premium segment, but the brand’s overall sales fell 3% YoY due to weaker demand for older models.
•    Low-to-mid-end demand is rising, boosting brands like Sharp, Xiaomi and FCNT.
•    We expect continued growth in 2025, supported by improving market conditions.

Tokyo, Beijing, Buenos Aires, Fort Collins, Hong Kong, New Delhi, Seoul, Taipei, London – February 21, 2025

Japan’s smartphone sales grew 7% YoY in 2024 driven by economic recovery, according to Counterpoint Research’s Japan Smartphone Tracker. The country’s smartphone market is gradually recovering, driven by steady economic growth, wage increases and stabilized import prices, which have boosted consumer spending.

Apple, which holds the largest share in Japan’s smartphone market, registered strong sales for the iPhone 16 series, boosted by stable exchange rates. However, the brand’s overall sales declined 3% YoY in 2024 due to weaker demand for older models.

Despite the decline, Apple continues to dominate the premium segment. Meanwhile, Sony is increasing its focus on high-end products as the premium market continues to gain traction.

Strong demand for low-to-mid-end smartphones is driving growth for brands like Xiaomi, OPPO, Sharp and FCNT, as Japanese consumers continue to favor budget-friendly options.

2025 Outlook

The Japanese smartphone market is expected to grow in 2025, supported by rising household incomes and a recovering domestic economy. Market players are also likely to take a more aggressive approach to expansion.

However, stricter smartphone subsidy regulations by Japan’s Ministry of Internal Affairs and Communications (MIC) could limit growth. Additionally, uncertainties surrounding US trade policies under the Trump administration could also pose a hindrance.

Senior Research Analyst Jene Park said, "The newly released iPhone 16e will likely boost Apple’s growth in Japan in 2025, while local players like Sharp and Sony are expected to further increase product premiumization.”

Background
Counterpoint Technology Market Research is a global research firm specializing in products in the TMT (technology, media, and telecom) industry. It services major technology and financial firms with a mix of monthly reports, customized projects, and detailed analyses of the mobile and technology markets. Its key analysts are seasoned experts in the high-tech industry.