The U.S. smartphone market continued to expand in April, though at a more moderate pace than seen earlier in the year. New smartphone unit sales increased 2% year over year versus April 2025, a welcome improvement, but notably softer than the 11% growth recorded between April 2024 and April 2025. Similar to March, growth was driven primarily by postpaid activations, while prepaid volumes declined 1% year over year. This outcome is notable given record‑high tax rebates in 2026, which were expected to provide a stronger tailwind for prepaid upgrades, particularly among value‑oriented consumers.
Apple’s volumes were only modestly higher than last April, reflecting stable but unspectacular performance. The new iPhone 17e closely tracked the iPhone 16e’s results from a year ago, with particularly strong sell‑through at carriers such as Consumer Cellular, where an older subscriber base continues to prioritize simplicity and value over cutting‑edge features. While Apple’s overall unit growth was muted, premium models remain central to carrier strategies, with the iPhone 17 Pro positioned as a hero offer across major operators.
Samsung emerged as the clear volume and revenue winner in April. The OEM posted a 9% year‑over‑year increase in unit sales, while MSRP‑based revenues rose 11%, driven by strong demand for the Galaxy S26 Ultra. This performance underscores an ongoing shift toward ultra‑premium devices, supported by aggressive carrier promotions tied to higher‑tier rate plans. Notably, iPhone 17 Pro models accounted for 64% of all iPhone sales between September 2025 and April 2026, up sharply from 51% for the iPhone 16 Pro and 15 Pro models over the prior two cycles.
These trends highlight that higher‑income consumers, who are able to commit to premium service plans, increasingly gravitate toward flagship devices, reinforcing premiumization as a key driver of industry revenue growth despite modest overall unit expansion.