Kanalis: Huawei maintains lead and Apple sees rebound in China

Oct

30

2017

latest report from market research firm Canalys showed that China’s Huawei is still in the top position in the Chinese market, while Apple is on the rise after nearly two years of decline.

According to the report, shipments of Chinese smart phones registered another quarter of the decline, as the market contracted by 5% in the third quarter of 2017 to 119 million units. The race for first place is still overheated, with local companies such as Huawei, Opo and Vivo accounting for 19%, 18%, and 17%, respectively.

Huawei’s shipments grew by 23 per cent in the three months to 30 September, with shipments of more than 22 million units, while shipments of Obo dropped slightly, compared to a year earlier, with shipments of about 21 million units. Vivo, which has increased shipments by 26%, has shipped 20 million units. In fourth and fifth place came the Chinese company Shaomi and then Apple of America.

The report also showed that the decline in Apple’s shipments in China has stopped, as shipments grew by 40% from 8 million in the third quarter of 2016 to about 11 million in the same period of this year.

Canales believes that this makes Apple’s performance the best in China in the past eight months, when growth has slowed considerably since the launch of the iPhone 6S. But the company also believes that Apple’s success in China may not be long.

Although it is widely described as expensive, the excitement surrounding the launch of the iPhone in China is high. “With the launch of the iPhone this week, the pricing and logistics structure is discouraging,” said Mo Jia, research analyst at Canales. The iPhone 10 will have a healthy gray market, but its popularity is unlikely to help Apple in the short term. ”

While the first five companies continue to strengthen their position, Canales believes that the drop in shipments has become a major concern for many sellers in China. “As we move into the last quarter of the year, the competition between China’s top sellers will remain tight with no clear winner,” said Hatti, a research analyst at the company.

“The fourth quarter will be very competitive and immediate,” she said. “Against the background of its massive expansion outside the Internet, Shaomi is poised to break Huawei, Opo and Vivo over the next quarter, making it a tougher battle.”

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