Apple Hits Record 28% Value Share in India

In 2025, Apple had hit an all-time record of 28 percent value share of the smartphone market in India, as data released on February 2, 2026, indicated. This success was encouraged by the quicker act of premiumising market in which consumers were changing to high-end smartphones as opposed to volume-driven low-end devices. The iPhone 16 created the biggest shipments of the year which highlights the dominance of Apple in the 30,000 and above segment. This development was accompanied by an unprecedented change in policy in the Union Budget 2026-27, which eliminated tax obstacles in the importation of manufacturing equipment by the foreign owner. Collectively, high consumerist demand, readily available financing and governmental help redefined Apple market position, manufacture strategy and long term India road map.

Premiumisation Apple is Fueling its Market Share Growth

The increase in value share of Apple shows that there is major structural change in demand on smartphone in India with the value share increasing to 28 percent in 2025 relative to 23 percent in 2024. Although the overall markets volumes increased only 1 per cent, the total market value increased 8 per cent which indicates that consumers were ready to pay more on premium devices. The iPhone 16 and 15 models were a gamechanger, as they had the added advantage of aspirational branding, extended device lifespan, and hard-selling EMI payment plans. Almost two out of three high-end smartphones were sold under a financing scheme, which eased the barriers of middle-income consumers to purchasing. More importantly, Apple did not rely on volume expansion but on value concentration to grow, which revealed the flaw of growth models based on budgets but took a clear turn towards competition based on profits.

Budget 2026 by the Union eliminates major manufacturing road blocks

The Union Budget 2026-27 was a strategic victory to Apple and other global OEMs because foreign owned machinery is not subject to income tax over a maximum of five years when it is utilised by the Indian contract manufacturers. Previously, Apple would risk subjecting itself to taxation on the world-wide income should it remain the owner of high-value production equipment that is used at the premises of its partners, who include Foxconn and Tata. The exception has a drastic effect on the regulatory uncertainty and development of greater capital investment. The government has also raised incentives on electronics components production to ₹40,000 crore, which is a 75 percent increment, to enhance domestic value addition. This policy change is a direct vote in favour of India wishing to leave assembly behind and enter into high value electronics production.

India is now the leverage export and growth centre of Apple

One area that has been increasing at an alarming rate in the global supply chain of Apple is the scope of its operations in India, where over 20 percent of all iPhones sold across the globe are currently produced in India. The exports of iPhone in India have passed the mark of 50 billion dollars since FY22, which supports the fact that this country is a strategic export base. However, challenges remain. In India, analysts predict that the total smartphone market will decline by a single-digit in 2026 as the increase in component prices will affect low-end markets. Although the premium-oriented strategy of Apple seems to be stable, the continuous growth will rely on the supply-chain localisation, cost management, and the stability of the policies. The difference between the two is sharp: the premium brands acquire power of value, whereas the market players of the mass-market experience the compression of their margins.