Apple Inc.'s iPhone sales fell by 19% in China during Q1 2024, dropping to third place behind vivo and HONOR with a market share of 15.7%.

The sales decline was mainly due to heightened competition from Huawei and other local brands.

Apple responded with discount campaigns and subsidies on certain models, but faced criticism from Chinese consumers.

The tech giant plans a second-quarter comeback with new color options for iPhones and aggressive sales strategies.

Apple is exploring the integration of AI features in devices to recover market share in China.

The company is also expanding its supply chain to Vietnam and India amidst legal challenges in Europe and the US.

Investors remain focused on Apple's strategies to maintain market share and innovation with the upcoming fall handset releases.

Apple's sales dip in China occurred despite the Chinese New Year, a traditionally high consumption period, and included discount offerings in January.