Apple was dethroned as China's biggest smartphone seller in 2024, with local rivals Vivo and Huawei overtaking the iPhone maker after its annual shipments in the country declined 17%, data from research firm Canalys showed on Thursday.

Apple lost its status as the best selling smartphone brand in the crucial Chinese market last year, new data showed Thursday, with a pair of local rivals surpassing it with surging shipments.

Apple smartphone shipments in China fell 25% in the fourth quarter, while Huawei's rose 24%, data from research firm Canalys showed on Thursday. Apple shipped 13.1 million units versus Huawei's 12.9 million,

Apple lost its No. 1 spot in China as domestic rivals took advantage of the iPhone maker’s lack of artificial intelligence features available on phones purchased in the country, according to data from research firm Canalys.

One factor is the company’s struggle to launch Apple Intelligence features in the country after being unable to get permission to use its own generative AI model there … Canalys reports that iPhone shipments in China fell by 25% year-on-year in the final quarter of the year.