Russia's smartphone market shrinks as consumer demand weakens

Russia's smartphone market contracted in the first half of 2026 as weaker consumer demand weighed on sales, market data published by electronics retailer M.Video said.

The data showed that smartphone sales fell by 7.8% year-on-year in unit terms and by 5.9% in value, totaling 12 million devices worth more than $2.9 billion during the six-month period, Caliber.Az reports, citing Russian media.

Mobile operator MTS reported an even steeper decline, estimating a 10% drop in unit sales and a 7% decrease in revenue. Meanwhile, Marvel Distribution projected a further contraction in the market, citing rising production costs and higher retail prices as key factors expected to weigh on future demand.

Despite the overall decline in sales, the average smartphone price increased by 2% to $245.

The market slowdown coincided with what was described as the sharpest deterioration in living standards in Russia in two decades. According to a Gallup survey, 56% of Russians said their financial situation had worsened, while 60% believe the country's economy is in decline.

Apple remained the market leader by revenue, accounting for 26.7% of total sales value, although its market position has gradually weakened. By units sold, Redmi led the market with a 16.7% share, followed by Samsung with 13.6%, after the South Korean manufacturer increased its market share through price reductions.

The top five smartphone brands by sales also included Realme, Tecno and Honor, reflecting continued competition in Russia's mid-range device segment.

Among individual models, the best-selling smartphones during the first half of the year were the iPhone 17 (256 GB), the iPhone 17 Pro and the iPhone 15, underscoring Apple's continued strength in the premium segment despite the broader market downturn.

By Vafa Guliyeva