By
Godfrey Benjamin
April 26th, 2024
According to two reports, the iPhone no longer has the largest phone market share in China, and has ceded this position to Huawei.
Multinational tech firm Huawei Technologies has officially displaced Apple’s iPhone from its position as the number one smartphone maker in China. According to a report from Jefferies analysts, other phones have recorded increases in sales, whereas iPhone numbers have dropped.
Huawei Sells More than iPhone in China
In the report, the analysts explained that the general smartphone market in China has seen more sales year over year (YoY). The analysts stated this is mainly seen in Android sales, with Huawei, Xiaomi, and Honor recording double-digit growths. However, the analysts note that iPhones are experiencing the inverse – a double-digit drop. Analysts also pointed out that the iPhone’s YoY volume growth has fallen since Apple launched the iPhone 15. According to them, the reduced demand in China will cause global iPhone 15 shipments to fall in 2023.
The analysts also had more to say about the iPhone’s market share reduction. According to the report, the recorded growth in Android’s volume is solid and not due to discounts. Jefferies analysts led by Edison Lee believe the launch of Huawei’s Mate 60 Pro helped the phone maker.
According to a different report from market tracker Counterpoint Research, sales of Apple’s iPhone 15 have fallen 4.5% compared with that of the iPhone 14 in the first 17 days of each launch. Counterpoint Research believes that the problem is China’s struggling economy, which is still reeling from the effects of Covid-19. Interestingly, this problem does not seem to be significantly affecting Huawei. Counterpoint Research estimates that the company will likely sell 5 to 6 million Mate 60 Pro units this year, and projects double-digit sales for 2024.
Counterpoint’s Research Director Jeff Fieldhack however points out that the situation is different in the US. According to Fieldhack, numbers in America are good. He said:
“The US is hot right now with back-to-back stellar weekends for the new iPhone. It’s a positive sign from the biggest iPhone market in the world. So definitely takes some of the sting off the China numbers.”
Other Huawei Products
Last month, Huawei held a high-profile event for new products but did not provide details of a new 5G phone or advanced chip the company is reportedly working on. Even though Huawei exec Richard Yu confirmed that there would be no details at the event, viewers were very disappointed.
Instead, Huawei provided information on its upcoming electric vehicles, including a sedan and an SUV. Huawei plans to sell electric vehicles under the Aito brand, in partnership with an automaker. The company also announced other products, including new wireless earbuds going for about 1,499 yuan ($205). Other products announced include a new smartwatch, a tablet Huawei claims is thinner and lighter than Apple’s iPad, and a stylus that connects with the new tablet via Huawei’s NearLink technology.
In August, Huawei posted financial earnings for the first half of the year. The report announced that revenue climbed 3.1% to 310.9 billion yuan ($43.1 billion). Huawei’s growth comes regardless of challenges imposed by US sanctions.