Europe’s smartphone market hit a new low in Q2 2026—the weakest second quarter in three years—with shipments falling 10% year-over-year down to 35 million units. Despite the shrinking market, Apple and Samsung now share the top spot, each holding approximately 34% of Europe’s market share.([appleinsider.com](https://appleinsider.com/articles/26/08/20/samsung-and-apple-are-now-neck-and-neck-in-europes-declining-smartphone-market/))
Winners, Losers, and the Shift from Budget to Premium
While most smartphone brands saw their shares decline, Apple was the standout exception. It jumped from 25% to 34%, making the most gains in the tough European market. Samsung also managed a slight rise from 31% to 34%—enough to tie Apple.([appleinsider.com](https://appleinsider.com/articles/26/08/20/samsung-and-apple-are-now-neck-and-neck-in-europes-declining-smartphone-market/))
Smaller and primarily Chinese brands didn’t fare as well. Xiaomi dropped from 19% to 15%, Oppo slid from 6% to 4%, Honor fell from 4% to 3%, and all others collectively sank from 14% to 11%.([appleinsider.com](https://appleinsider.com/articles/26/08/20/samsung-and-apple-are-now-neck-and-neck-in-europes-declining-smartphone-market/))
Regional Trends & The Role of Premium Devices
Western Europe is leading the premium wave, where consumers continue spending more on high-end smartphones—work that plays directly into Apple’s strengths. But in Eastern Europe, budget-friendly Chinese phones are gaining traction, as premium demand softens somewhat.([appleinsider.com](https://appleinsider.com/articles/26/08/20/samsung-and-apple-are-now-neck-and-neck-in-europes-declining-smartphone-market/))
Inventory constraints—due largely to global supply chain issues and rising component costs—are affecting availability across the region. At the same time, promotional activity has cooled off, as vendors try to protect margins amid weakening consumer demand.([appleinsider.com](https://appleinsider.com/articles/26/08/20/samsung-and-apple-are-now-neck-and-neck-in-europes-declining-smartphone-market/))
Looking Ahead: The iPhone Ultra & What’s Next
Looking forward, the release of the iPhone Ultra in September 2026 could dovetail nicely with the rising demand for premium smartphones in Western Europe. Starting price is expected around US$2,000, with some analysts projecting sales at approximately 14 million units in fiscal year 2027.([appleinsider.com](https://appleinsider.com/articles/26/08/20/samsung-and-apple-are-now-neck-and-neck-in-europes-declining-smartphone-market/))
Even though the overall market is shrinking, Apple is widely expected to continue outperforming its competitors—mostly due to its premium positioning and strong brand loyalty.([appleinsider.com](https://appleinsider.com/articles/26/08/20/samsung-and-apple-are-now-neck-and-neck-in-europes-declining-smartphone-market/))
What this means: Europe’s smartphone market is clearly bifurcating. The mass-market segment is weakening dramatically, especially for value brands, while premium manufacturers like Apple and Samsung are solidifying their dominance. The success of the upcoming iPhone Ultra will be a key indicator of how far premium demand can carry Apple—and potentially reshape rivals’ strategies for pricing, inventory, and product focus.
