Although Apple beat analysts expectations by shipping 31.2 million iPhones last quarter, its market share dropped to a record low.

Apple currently commands 13.6 percent of the smartphone market, down from 16.6 percent in Q2 2012. Meanwhile Samsung also lost ground, with a share of 30.4 percent, down from 31 percent a year ago. Apple’s smartpone market share is currently at its lowest point since Q2 2010, reports Strategy Analytics.

ZTE, LG and Huawei had a good quarter and managed to gain some ground. Overall smartphone shipments soared 47 percent over last year. Nokia’s share was down, as the company phased out the last Symbian phones.

Moving forward Apple has a good chance to regain some ground. It should launch the new iPhone 5S soon and it is apparently preparing to roll out a low cost version of the iPhone as well. The next generation of flagship Androids from heavy hitters like Samsung and HTC will probably show up in late Q1 2014, which means Apple has at least two quarters to turn things around.