Explainer: iPhones Now Make Up One in Four Active Smartphones Worldwide

Recent data from Counterpoint Research reveals a significant milestone in the smartphone market: nearly 25% of all active smartphones globally are now iPhones. This insight comes from Counterpoint's Smartphone Installed Base Tracker, which monitors the number and types of smartphones currently in use around the world. The tracker also indicates that the total global installed base of active smartphones grew by 2% in 2025. This growth is notable considering the trend of lengthening replacement cycles, where users hold onto their devices longer before upgrading. Additionally, the continued circulation of second-life devices—smartphones that have been resold or repurposed—contributes to the expanding installed base.

The rise in iPhone market share within the active smartphone base reflects several underlying factors. Apple's strong brand loyalty, consistent software updates, and robust ecosystem encourage users to retain their iPhones longer and attract new customers. The company's strategy of supporting older devices with software updates extends the lifespan of iPhones, which helps increase their presence in the active installed base. Meanwhile, the global smartphone market faces saturation in many regions, which slows new device sales and emphasizes the importance of replacement cycles and second-hand device markets.

The growth in the active smartphone base, despite slower new sales, highlights shifting consumer behavior. Users are increasingly valuing durability and longevity over frequent upgrades, which impacts manufacturers' sales strategies and innovation cycles. For Apple, maintaining a large share of the active installed base is beneficial, as it ensures a steady user base for services like the App Store, iCloud, and Apple Music, which contribute significantly to the company's revenue. Other smartphone manufacturers face challenges in increasing their share of active devices, especially in markets where iPhones have gained strong footholds.

The data also underscores the importance of second-life devices in the smartphone ecosystem. These devices, often sold through refurbished or resale channels, help keep older models in circulation and provide affordable options for consumers. This trend supports sustainability by reducing electronic waste and offering budget-friendly alternatives. For Apple, the robust market for refurbished iPhones further solidifies its presence across different consumer segments. However, it also pressures manufacturers to innovate and differentiate their new models to encourage upgrades.

Looking ahead, the smartphone industry may continue to see slower growth in new device sales but an expanding active installed base due to longer device lifespans and second-life usage. Apple's ability to maintain and grow its share of this base will depend on its product innovation, ecosystem strength, and customer retention strategies. For consumers, the trend suggests a shift toward more sustainable and cost-effective smartphone usage patterns, balancing new purchases with extended use of existing devices.