• The Middle East and Africa smartphone market grew 3% YoY in Q2 2025, driven by channel activities, affordable 5G devices, and improved economic conditions.
• Rising ASPs (up 7% YoY) reflect a consumer shift toward higher-end devices, with 5G adoption hitting 37%, supported by financing models and local production in key markets like Egypt.
• Transsion Group captured a 26% share, powered by TECNO’s strong distribution, and Infinix’s 14% YoY growth in youth-focused segments. On the other hand, itel continues to struggle due to strategic challenges.
• Samsung achieved 1% YoY growth through its A-series, and AI-driven marketing, while Apple’s shipments soared 28% YoY, fueled by iPhone 16e promotions and higher-end demand.

MEA smartphone shipments grew 3% YoY in Q2 2025, the region’s second straight quarter of growth, according to the latest research from Counterpoint’s Market Monitor service.

The increase was supported by Eid al-Adha sales and promotions, improving economic conditions in the region, along with increased consumer purchasing power backed by stronger local currencies.

These factors helped unlock pent-up demand, in response to which OEMs and distributors ramped up device availability, while many brands focused on clearing older stock ahead of the festive sales season.

Commenting on the market dynamics, Senior Analyst Yang Wang said, “The MEA smartphone market entered 2025 with a strong recovery and is now steadying, with ASPs rising 7% YoY as consumers shift toward higher-end models.

The sector is also consolidating, with smaller brands struggling to survive while leading players strengthen their position through differentiated products, partnerships, and an expanded offline presence. Chinese brands dominated with a 59% market share in Q2 2025, while a few global players continued to perform well in the high-end space.”

On pricing trends, Wang added,

“Brands are tailoring their offerings to target both premium buyers and budget-conscious buyers, with Q2 2025 showing a clear shift in consumer demand across different price segments. The budget segment (under $100) expanded further YoY, maintaining the largest share, supported by increased availability, financing models, and the migration from feature phones. It even helped the overall market remain positive in territory during the quarter. In contrast, the $200-$299 price band shrank, with its share eaten by higher price categories, which recorded the fastest growth. Consumers are increasingly drawn to devices with advanced features such as AI translation, 5G connectivity, powerful chipsets, telephoto cameras, 120Hz AMOLED displays, and fast charging, though many continue to wait for festive discounts to make these upgrades more affordable.”

Affordable 5G phones continued to drive sales in MEA, attracting both first-time buyers and upgraders.

Consequently, 5G adoption in the region climbed to 37% during the quarter, fuelled by sub-$100 devices from TECNO, OPPO, and itel in markets like Nigeria.

The $200-$599 segment also saw strong demand, capturing a 56% market share. South Africa, Egypt, and Kenya led 5G smartphone growth. Sales in South Africa were boosted by MTN and Vodacom’s investments and tax reforms, in Egypt due to IMEI whitelisting and local production, and in Kenya by the country’s mobile-first economy driven by M-Pesa and micro-lending partnerships.

Insights on Key Brands During Q2 2025

Transsion Group commanded a 26% share of MEA smartphone shipments, driven mainly by its brands TECNO, Infinix, and itel.

TECNO captured a 17% share due to its strong distribution network, effective marketing, and affordable, feature-rich devices that dominate the lower- to mid-end segments.

Infinix returned to growth, up 14% YoY, fuelled by youth-focused marketing, dual-SIM devices, camera features optimized for local needs.

It has also been expanding into the $300-$599 range, while maintaining strength in the sub-$200 segment.

In contrast, itel has struggled due to weak positioning, supply chain disruptions, and lack of clear strategy, though it continues to target ultra-affordable phones under $100.

Samsung secured the top spot in the MEA smartphone market in Q2 2025, growing 1% YoY despite cutting its active models drastically to 73 from 105.

The brand saw an increase due to the continued success of its A-series, which gained traction through wider retail reach and competitive mid-range offerings.

Samsung also benefited from flexible payment options, festive promotions, trade-in programs, and partnerships with operators and local retailers.

Heavy investment in marketing, including AI-focused ads reinforced its leadership, while local manufacturing helped reduce costs.

Xiaomi’s shipments grew 9% YoY in Q2 2025 as it streamlined its portfolio, cutting active models to 75 from 95.

However, limited fresh launches beyond a few ‘hero’ models and a more cautious strategy left room for rivals like TECNO, Samsung, and HONOR to capture share in the mid-to-low-end segment.

Despite its wide offline presence and strong brand recognition, Xiaomi’s growth was constrained by aggressive pricing and localized marketing from competitors.

The brand has become more conservative this year, and although it is expected to compete closely with Transsion in the mid-lower price tier, shipment gains remain modest.

ASP fell 8% YoY as sales skewed heavily toward the $50-$99 price band, reflecting Xiaomi’s reliance on budget models.

Apple’s shipments grew 28% YoY, as the brand expanded channel penetration and anticipation for the iPhone 17 launch in Q3 2025 supported momentum.

The iPhone 16e recorded triple-digit QoQ percentage growth, boosted by strong promotions, easy financing, and rising demand for higher-end devices, especially in GCC markets.

According to data from Counterpoint Research, the company had a 19% market share, driven by the successful launch of the iPhone 16e. This model, replacing the iPhone SE, starts at $599 and has aligned particularly well in markets like Japan and India. 

However, while global sales for the smartphone industry grew by 3% year-over-year in Q1, there are signs that the market could face a decline for the rest of the year. 

This is largely due to economic instability and shifting trade policies, particularly those linked to tariffs imposed by the United States. “As per our current estimates, the tariff announcement did not lead to a major demand increase because of the uncertainty around tariffs and policy. Since tariffs were announced in April, it did not impact iPhone demand in Q1 2025,” said Ankit Malhotra, senior research analyst at Counterpoint.

Despite these economic issues, other companies in the smartphone market are holding their ground. Samsung, with its 18% market share, followed closely behind Apple, thanks to the launch of its new S25 series and refreshed A-series devices in March. 

Xiaomi also performed well, capturing 14% of the market as it continued to expand into new regions, particularly in China, and strengthened its brand presence with its move into the electric vehicle sector.

While Apple saw relatively flat or declining sales in traditional markets like the U.S., Europe, and China, it grew across emerging regions. The Middle East, Africa, and Southeast Asia were all marked by double-digit growth, contributing to Apple’s global success.

Again, the global smartphone market faces a tricky year ahead. Counterpoint Research has adjusted its forecast, now predicting a slight decline in the overall market, driven by economic uncertainties and fluctuating tariff policies. 

Emerging technologies, including generative AI and foldable devices, are expected to continue to gain traction. However, manufacturers will need to remain vigilant, closely monitoring demand and adjusting their strategies to avoid overproduction.

The device comes with Apple’s latest innovations, including the A18 chip, the company’s first in-house cellular modem (C1), and a solid camera system that enhances mobile photography. 

With a sleek design, advanced AI-powered tools, and improved battery life, the iPhone 16e aims to be an ideal option for users seeking cutting-edge technology without breaking the bank.

Design and Display

The iPhone 16e included a refined and modern aesthetic, crafted with durability and user comfort in mind. The device has a 6.1-inch Super Retina XDR OLED display, providing rich colours, deep blacks, and high brightness levels for an immersive viewing experience.

Apple continues its tradition of premium build quality, building the iPhone 16e with an aerospace-grade aluminium frame and a Ceramic Shield front cover for enhanced durability. The device maintains an IP68 water and dust resistance rating, ensuring protection against spills and submersion in water up to a certain depth.

Apple has opted for a matte black and white colour scheme, delivering a minimalist and sophisticated look. The device also supports both USB-C connectivity and MagSafe wireless charging, making it more convenient for users transitioning from other Apple devices.

Performance and AI-Powered Features

The iPhone 16e was built with Apple’s A18 chip, which brings improvements in speed, power efficiency, and overall performance. This processor ensures seamless multitasking, smooth gaming experiences, and enhanced AI-driven capabilities.

One of the interesting features of the iPhone 16e is the introduction of Apple Intelligence, a suite of AI-powered tools designed to enhance user experience while prioritising privacy. The features include:

• Clean Up tool in Photos: Utilises machine learning to remove unwanted objects from images with precision.
• Natural Language Search: Allows users to find messages, notes, and documents using conversational queries.
• Image Playground: Provides a creative toolset for generating AI-powered visuals.
• Visual Intelligence: Enables object recognition, text translation, and interactive digital content exploration.

The Action Button makes a return, offering users a shortcut to essential functions such as launching the camera, activating the flashlight, or running app-specific commands. This level of customisation enhances the device’s overall usability.

Camera System and Photography Enhancements

Apple has upgraded the camera system on the iPhone 16e, making it a great choice for mobile photography enthusiasts. The device features a 48MP main camera sensor, utilising computational photography techniques for sharper, more detailed images.

The camera system includes:

• 2x Optical Telephoto Zoom: Enables users to capture distant subjects with greater clarity.
• Night Mode Enhancements: Delivers improved low-light performance with better exposure and colour accuracy.
• TrueDepth Front Camera with Autofocus: Ensures high-quality selfies and clearer video calls.
• 4K Dolby Vision Recording: Allows for professional-grade video capture, enhanced by spatial audio and wind noise reduction for superior sound clarity.

With its advanced image-processing algorithms, the iPhone 16e ensures energetic and natural-looking photos, even in challenging lighting conditions.

Safety and Connectivity Features

Apple always prioritises user safety with the integration of emergency communication features. The iPhone 16e includes:

• Satellite-Based Emergency SOS: Enables users to send distress signals in areas without cellular or Wi-Fi coverage.
• Roadside Assistance via Satellite: Allows drivers to request help in remote locations.
• Crash Detection: Automatically contacts emergency responders in the event of a severe car accident.

The introduction of Apple’s first in-house C1 modem ensures improved connectivity and power efficiency, delivering faster 5G performance while extending battery life. Additionally, the iPhone 16e runs iOS 18, which introduces greater personalisation, enhanced privacy controls, and RCS messaging support for better compatibility with non-Apple devices.

Battery Life and Charging

With the efficiency of the A18 chip and Apple’s optimised power management, the iPhone 16e offers extended battery life, capable of lasting an entire day on a single charge under typical usage.

Charging options include:

• MagSafe and Qi2 Wireless Charging for seamless, cable-free power-ups.
• USB-C Fast Charging that can deliver 50% charge in approximately 30 minutes with a compatible adapter.

Availability and Pricing

Apple has strategically built the iPhone 16e to be an affordable alternative within the iPhone 16 lineup, making flagship features accessible to a wider audience. The device will be available for pre-order starting Friday, 21st February 2025, with official sales beginning on Friday, 28th February 2025.

Price Range

iPhone 16e will be available in white and black in 128GB, 256GB, and 512GB storage capacities, starting at $599 (U.S.) or $24.95 (U.S.) per month for 24 months.