Apple’s Worldwide Mac Shipments Up in Q2 2020 Amid Overall PC Market Growth

Apple’s worldwide Mac shipments were up 5.1 percent during the second quarter of 2020, according to new PC shipping estimates shared this afternoon by Gartner.

Gartner’s Preliminary Worldwide PC Vendor Unit Shipment Estimates for 2Q20 (Thousands of Units)

Apple shipped an estimated 4.4 million Macs in Q2 2020, up from the 4.2 million shipped in Q2 2019, with shipments growing even amid the ongoing public health crisis.

Apple’s market share during the quarter grew to 6.7 percent, up from 6.6 percent in the year-ago quarter. Apple’s rising shipments came as the overall PC market saw growth of 2.8 percent.

Apple continues to maintain its position as the number four PC vendor in the world, trailing behind Lenovo, HP, and Dell. Lenovo was the top PC vendor during the quarter with 16.197 million PCs shipped and 25 percent market share, followed by HP with 16.165 million PCs shipped and 24.9 percent market share.

Apple’s Market Share Trend: 1Q06-2Q20 (Gartner)

Dell was the number three vendor 10.65 million PCs shipped and 16.4 percent market share, but Dell was the only one of the major vendors to see a drop in shipments. Acer shipped 4 million PCs and ASUS shipped 3.6 million PCs, with both vendors trailing Apple.

Apple also saw Mac shipment growth in the United States, shipping 2 million Macs in Q2 2020, up from 1.9 million in Q2 2019 for 4.3 percent growth. Apple also continues to be the number four vendor in the United States, coming in after HP, Dell, and Lenovo. Overall U.S. PC shipments were also up 4.6 percent year over year.

Gartner’s Preliminary U.S. PC Vendor Unit Shipment Estimates for 2Q20(Thousands of Units)

According to Gartner, PC shipment growth during the quarter was driven by purchases necessary for working from home and online education. The upward tick in shipments is not expected to continue.

“Additionally, mobile PC growth was particularly strong, driven by several factors including business continuity for remote working, online education and consumers’ entertainment needs. However, this uptick in mobile PC demand will not continue beyond 2020, as shipments were mainly boosted by short-term business needs due to the impact of the COVID-19 pandemic.”

IDC also released its own PC shipment estimates this afternoon, and its estimations are wildly different. IDC’s data suggests Apple shipped 5.6 million Macs during Q2 2020, up 36 percent from the 4.1 million estimated to have shipped in Q2 2019.

IDC believes that the overall worldwide PC market saw 11.2 percent growth with 72.3 million total PCs shipped, while Gartner believes there were 64.8 million total PCs shipped during the quarter.

It’s important to note that data from Gartner and IDC is estimated and not reflective of Apple’s actual sales, which accounts for the large discrepancy in estimated shipments.

In the past, we were able to check estimated shipment data when Apple provided quarterly earnings releases with actual Mac sales information, but Apple no longer breaks out unit sales for iPhone, iPad, and Mac, which makes it impossible to know precise sales numbers.

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Apple ‘Battling’ to Free Up iPhone Shipments as India Holds Up Imports From China

Apple is “battling to free stuck shipments” at the Indian port of Chennai after the country ramped up scrutiny of imports from China following rising tensions between the two nations.


Reuters reports that customs officers at the Southern Indian port have held back more than 150 shipments of smartphones and electronic parts from China, which has disrupted operations at plants owned by Apple supplier Foxconn.

While several companies such as Apple and Dell have been battling to free stuck shipments, hundreds of employees at Taiwanese contract manufacturer Foxconn’s two plants in the south had no major work to do this week as shipments were delayed, sources said.

Some of the shipments are being slowly cleared, according to Reuters‘ sources, but the hold-up has reportedly left Foxconn in a “very bad state,” resulting in many workers staying at their dormitories because of a lack of work.

The additional checks, which were apparently imposed without any formal order, follow deadly clashes between Chinese and Indian soldiers at the disputed Himalayan border last month, which has led to boycotts and demonstrations.

With concern mounting that the shipping delays are impacting businesses that have already been disrupted by the global health crisis, prominent U.S.-India lobby groups and local industry bodies have urged the Indian government to intervene. Indian government officials said the additional clearance measures for shipments from China would be temporary.

China’s Commerce Ministry said on Thursday that it hoped India would “correct its discriminatory actions against Chinese companies immediately,” after India banned some Chinese mobile apps amid the border crisis.

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Shipments of mmWave 5G iPhones Could Be Much Weaker Than Expected This Year

The latest shipment estimates for Apple’s upcoming mmWave-enabled 5G iPhones are several million units lower than previously expected, which is intensifying competition among suppliers of AiP substrates, reports DigiTimes.

Shipments of mmWave-enabled 5G iPhones slated for launch later this year are estimated to reach only 15-20 million units in 2020 compared to a previous supply chain estimate of 30-40 million units, intensifying competition among Apple’s suppliers of FC-AiP substrates for the new phones, according to industry sources.

Apple is believed to be designing its own antenna-in-package or “AiP” module for mmWave iPhones, which use a set of 5G frequencies that promise ultra-fast speeds at short distances, making it best suited for dense urban areas. By contrast, sub-6GHz 5G is generally slower than mmWave, but the signals travel further, better serving suburban and rural areas.

According to DigiTimes, Apple’s AIP package is more cost-effective than previous designs, but some analysts believe that models with support for ultra-fast mmWave technology will likely launch after sub-6GHz models due to production challenges and the global health crisis. To counter these challenges, Apple has diversified its supply chain for the modules to minimize risk.

The upcoming mmWave 5G iPhones will adopt more cost-effective FC-AiP process, with ASE Technology to package AiP modules, the sources said. But Apple reportedly has finalized three suppliers of BT-based FC-AiP substrates, including one based in Taiwan and two in South Korea, and they will together supply 30-50 million substrates, the sources said, adding one iPhone will require 2-3 AiP modules.

Prior to the global health crisis, analyst Ming-Chi Kuo said Apple was still on track to release both sub-6GHz and sub-6GHz-plus-mmWave “iPhone 12” models simultaneously in the second half of 2020, with shipments beginning in the late third quarter or early fourth quarter.

Kuo has not indicated whether those plans have since changed, but other analysts have said they believe the mmWave iPhones may not arrive this year because Apple’s custom antenna-in-package is proving to be more of a battery drain than the company would like.

Kuo has said 5G iPhone models with mmWave would be available in five markets, including the United States, Canada, Japan, Korea, and the United Kingdom. He also believes Apple may disable 5G functionality in countries that do not offer 5G service or have a shallow 5G penetration rate to reduce production costs.

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First 5G iPhone Shipments Won’t Include OLED Panels From BOE Due to Validation Failure

Apple was hoping to use OLED panels sourced from display manufacturer BOE for some of the iPhone models coming in 2020, but BOE will not be a supplier for the first batch of panel shipments for the new iPhones due to manufacturing issues.


According to DigiTimes, BOE has failed to secure Apple’s validation for the OLED screens.

Apple is planning to release four OLED iPhones this year, measuring in at 5.4 inches, 6.1 inches (x2), and 6.7 inches. The 5.4-inch ‌iPhone‌ and one 6.1-inch model will be positioned as more affordable successors to the iPhone 11, while the other 6.1-inch ‌iPhone‌ and the 6.7-inch model will be “Pro” devices that follow the iPhone 11 Pro.

Samsung Display will be the major OLED panel supplier for all of the new iPhones, while BOE and LG Display were developing OLED screens for the entry-level 6.1-inch ‌iPhone‌ model. BOE is working out the quality issues impacting its manufacturing and is hoping to begin shipping OLED panels to Apple in the fourth quarter of 2020.

LG Display will pick up the slack and plans to ramp up shipments for the 6.1-inch model, shipping 23 to 25 million units up from the 18 to 23 million originally planned. Samsung Display is expected to ship 18 to 20 million units for the 5.4-inch ‌iPhone‌, 16 to 18 million for the higher-end 6.1-inch ‌iPhone‌, and 22 to 24 million units for the high-end 6.7-inch ‌iPhone‌.

BOE’s failure should not have a significant impact on the release date of Apple’s 2020 iPhones as Apple can rely on Samsung Display and LG Display. Other factors may somewhat delay this year’s ‌iPhone‌ lineup, and there have been rumors suggesting some or all of the iPhones could be announced in September and launched later, perhaps in October.

BOE began volume manufacturing flexible OLED panels in 2019, but its yield rate barely reaches around 20 percent at the current time, which Apple is unable to work with.

BOE is now trying to improve its yield rate by combining the front-end process of its B7 fab and the backend process of the B11 line, indicated the sources, noting that the B7 fab, also located in Sichuan, kicked off volume production in 2017 and has since ramped up its yield rate to about 70-80% recently.

If BOE’s efforts to improve yield rate are successful, it could ship somewhere around two million OLED panels to Apple in 2020, but that’s a best case scenario.

DigiTimes‘ report confirms rumors from earlier in June that suggested BOE had failed to deliver its first shipment of OLED panels for Apple’s iPhone 12 due to an inability to pass OLED quality control tests.

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Apple Watch Estimated to Reach 100 Million Lifetime Shipments Soon Despite Weaker Demand Last Quarter

Apple Watch continued to lead the smartwatch industry with an estimated 5.2 million shipments worldwide in the first quarter of 2020, well ahead of Huawei, Samsung, Fitbit, and others, according to research firm Canalys.


Canalys said the Apple Watch did see slow performance in North America and Europe during the quarter, however, which it attributes to Apple customers “switching their attention to AirPods as a ‘must-have’ accessory.” Apple’s market share declined to an estimated 36.3 percent for the quarter, down from 46.7 percent in the year-ago quarter.

Huawei trailed in second place with an estimated 2.1 million shipments and 14.9 percent market share for the quarter, followed by Samsung with an estimated 1.8 million shipments and 12.4 percent market share.


Canalys expects lifetime Apple Watch shipments to reach 100 million units within the next few months, five years after the device launched.

Apple does not provide a breakdown of Apple Watch sales in its earnings reports, so take these estimated figures with a proverbial grain of salt. Apple’s “Wearables, Home and Accessories” category did set a new all-time revenue record of $6.3 billion last quarter, including sales of the Apple Watch, AirPods, Beats products, Apple TV, HomePod, iPod touch, and both Apple-branded and third-party accessories.

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iPad Shipments Predicted to Fall This Year Amid 7% Decline in Wider PC and Tablet Market

Market research firm Canalys has forecast a sharp drop in PC and tablet sales in 2020 due to the economic recession brought on by the global health crisis.


PC shipments fell by approximately 9 percent in the first quarter, and Canalys predicts a marginal recovery in the second and third quarters, with shipments projected to be down year on year.

According to the report, PC and tablet shipments are expected to reach 367.8 million units by the end of this year, down 7 percent from 395.6 million units in 2019. Apple in particular could see lower shipments of iPads if consumers consider them “non-esential” purchases.

If the economy does not show major signs of recovery by Q4, Canalys expects that consumers will move away from discretionary spending on non-essential devices, such as Apple tablets, at the end of the year. We expect the recovery in the US to be delayed until 2022, when the market will grow 4% year on year.

The report follows data shared by Gartner on Monday indicating iPhone sales dropped eight percent in the first quarter of 2020, although other smartphone manufacturers saw much steeper drops in sales.

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Mac Shipments Estimated to Be Down Over 20% While Demand Surges in Q1 2020

Apple’s Mac shipments are estimated to have been down over 20 percent in the first quarter of 2020, according to new data shared by Canalys this week. The shuttering of businesses and factories around the world has caused “severe delay in production and logistical issues”, leading to a worldwide PC shipment fall of eight percent year on year.


Top vendor rankings remained stable, with Lenovo continuing to lead the PC market with 12.8 million units shipped. HP came second with 11.7 million units, followed by Dell with 10.5 million units.

Apple shipped an estimated four million Macs in the first quarter of 2019, dropping to 3.2 million in the first quarter of 2020, a decline of 21 percent. This is a greater year-over-year decline than seen by any of the other top five vendors, including Lenovo, HP, Dell, and Acer.


In spite of falling shipments, demand has soared in the first quarter of 2020, driven by remote working and learning requirements from strict lockdown measures across the world. Canalys predicts that vendors will report healthy profits over the coming weeks, with operating margin percentages reaching all-time highs.

Canalys also notes that “many other home technologies” have seen major growth amid the shift to working and learning from home. This includes headphones, webcams, printers, and monitors, as well as home-working software solutions for collaboration, virtual desktops, remote access, and security. Apple, however, does not produce products for many of these categories.


According to Canalys analyst Ishan Dutt, PC industry demand is unlikely to remain as strong as it was in the first quarter.

As we move into Q2, the production constraints in China have eased. But the spike in PC demand seen in Q1 is not likely to be sustained and the rest of the year looks less positive. Few businesses will be spending on technology for their offices, while many homes will have been freshly equipped. A global recession has begun – businesses will go bankrupt, with millions newly unemployed. Even governments and large corporations will have to prioritize spending elsewhere.

Canalys data is based on supply chain analysis and consumer surveys. Apple no longer discloses ‌iPhone‌, iPad, and Mac sales, which means that analyst estimates cannot be confirmed by specific sales data.

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