Samsung Electronics remained the leader for Middle East smartphone shipments in the second quarter of 2026, as manufacturers navigate the conflict-hit regional market, a report has found.

The effects of the Iran war have choked logistics and hit supply chains, forcing phone makers to prioritise value over shipment volumes and retailers to cautiously rejig inventory strategies, industry tracker Omdia said.

"Vendors are preserving product competitiveness and brand positioning while acknowledging that short-term volume sacrifices are unavoidable," Manish Pravinkumar, principal analyst at the London-based company, wrote in the report. "Prioritising profitability and revenue over volume and market share growth has become critical in an increasingly challenging operating environment, even at the expense of short-term results."

Smartphone manufacturers – even those with established supply chains, such as Samsung and Apple – have not been spared from the challenges created by the conflict, which include soaring chip costs.

Samsung, the world's biggest smartphone manufacturer, posted a 39 per cent market share in the three months through the end of June, as it shipped about 4.1 million units, the latest data from Omdia showed. That was up from 34 per cent from the same quarter in 2025, even though shipments were down 7 per cent from 4.5 million the previous year, it added.

Seoul-based Samsung recently introduced its Galaxy Z Fold8 series and said it posted record orders for its new foldables. Shipments for the new devices would be reflected in third-quarter data.

Coming in at a distant second is Honor, the former subsidiary of China's Huawei Technologies, with a market share of 13 per cent on shipments of 1.3 million units, representing a 2 per cent annual increase.

Transsion, which owns the Tecno, Infinix and Itel brands, and China's Xiaomi both recorded a market share of about 11 per cent, but they posted significant drops in units shipped of 40 per cent and 50 per cent, respectively, to 1.2 million and 1.1 million.

Apple also held an 11 per cent market share, with iPhone shipments inching up 1 per cent year-on-year to about 1.1 million. The California-based company is expected to unveil its next flagship devices next month, including its hotly anticipated first foldable.

Midrange phones – priced between $300 and $800 – were the best performers in the quarter, with shipments growing 16 per cent annually as consumers turn to devices that feature some flagship-level specifications. Shipments for entry-level phones slid by 42 per cent as companies seek to balance pricing and supply issues.

On the other hand, Apple was a driver for the higher-end segment, particularly in the UAE and Qatar, where strategies including flexible payment options and sustained demand kept consumer interest in premium devices high. "We are observing a convergence of necessity and strategy in the Middle East’s smartphone market," Mr Pravinkumar said.