Losses for Apple, Samsung Are Huawei's Gain

...

Smartphones are having a rough year: Q1 was "the first time ever in history the global smartphone market ..shrunk on an annualized basis," according to Strategy Analytics.

IDC echoed that concern, reporting that 334.9 million handsets shipped worldwide in the first quarter of 2016, marking the smallest year-over-year growth on record (334.3 million shipped in Q1 2015). The firm pointed to "strong smartphone saturation in developed markets, as well as a year-over-year decline from both Apple and Samsung" as the reason for the drop.

Samsung, despite a 4 percent annual dip, maintained first place with 24 percent global smartphone market share, according to Strategy Analytics Executive Director Neil Mawston. The Korean company shipped 79 million handsets worldwide in Q1 2016, while Apple followed with a "disappointing" 51.2 million, dropping Cupertino's market share from 18 to 15 percent.

"Apple is facing iPhone fatigue and pressure is mounting for Apple to innovate a new wow design beyond its standard rectangle form factor," Mawston said.

Huawei retained its third place position with 8 percent of the market, up from 5 percent a year ago. The China-based manufacturer saw impressive 64 percent growth annually, shipping 28.3 million smartphones worldwide in the latest quarter.

"Huawei is closing the gap on Apple, but Huawei itself is now being chased hard by ambitious rivals like Oppo and Vivo," said Woody Oh, director of Strategy Analytics.

IDC concurred, suggesting Huawei, Oppo (18.5 million shipments), and Vivo (14.3 million shipments)—which pushed out previous players Lenovo and Xiaomi—will end 2016 victorious.

But, as IDC's Anthony Scarsella points out, these brands are virtually unknown outside of China, and will need to break into the US and Western European markets to compete with the likes of Apple and Samsung.

"While Huawei is furthest along in terms of international recognition, selling equally impressive volumes outside of China remains a challenge for many of these brands, whether it is Xiaomi, Lenovo, OPPO, or Vivo," Scarsella said. "Their ability to drive local growth no longer applies when it comes to international expansion, where premium branding quickly turns to price competition."

Categories
APPLICATIONS
0 Comment

Leave a Reply

Captcha image


RELATED BY

  • 5300c769af79e

    HP EliteBook Gets Sure View To Block 'Visual Hacking'

    In this webinar we'll explore ways to prove the old guard wrong by showing that security and DevOp Privacy screens on the HP EliteBook 1040 and HP EliteBook 840 will keep shoulder-surfers from spying on your machine.If you have one of HP's new laptops, all you need to do is press a button to ensure privacy.
  • 5300c769af79e

    Windows 10 Preview Build Recruits Insiders To Bash Bugs

    Organizations require new ways to "weaponize" the threat intelligence they have to prevent attacks Windows 10 Insider Preview Build 14332 steps away from its traditional Quests and takes a different approach to the way Windows Insiders can help chase bugs.In its latest build, Microsoft is also introducing a couple different types of bug-chasing Quests.
  • 5300c769af79e

    Dyson Launches $500 Air Purifier

    But Dyson has a solution for keeping pests out and clean air in: The Pure Cool Link claims to remove 99.Its sleek device features a 360-degree Glass HEPA filter to trap pollutants from all angles, as well as Air Multiplier technology to project purified air.
  • 5300c769af79e

    Nintendo Shares Surge on Pokemon Go Juggernaut

    The company's shares rose 36 percent in two days, after downloads of the Pokemon Go app raced to the top of iOS and Android charts in the U.and Niantic, the former Google unit behind the wildly popular augmented reality game Ingress, teamed up to provide a mobile gaming app based on the iconic Pokemon franchise.