With Chinese phone makers such as Huawei and Xiaomi, it is fair to say that Chinese brands have surpassed Samsung in China and are encroaching on Apple’s turf…. In the coming years, analysts forecast that these cheap Android phones with not-so-cheap features will likely attract more budget-conscious customers in Europe and even in Samsung’s and Apple’s home markets, South Korea and the United States.
Chinese phone makers made their global ambitions known during this week’s Mobile World Congress wireless show in Barcelona, Spain (27.02.16 to 2.03.16). Huawei and TCL vied to steal the spotlight from Samsung and LG, both of which announced new high-end phones at the show….
Visit Mobile World Congress Wireless: https://www.mobileworldcongress.com
“The Chinese smartphone vendors have a very unique feature — it is the price,” said Shu On Kwok, editor of AndroidPIT, a website that tracks Android developments. “You get the same features as an LG or a Samsung smartphone has hardware-wise, but for a lower price.”
The Chinese brands have already taken their toll on Samsung. Although it’s still the largest smartphone maker in the world, Samsung is no longer among the top five phone makers in China, according to market research firms IDC and Counterpoint Technology. Profits from the mobile business have plunged to less than half of what it was in its heyday. Apple’s sales in China rose in the fourth quarter, but its growth was outshined by Huawei.
Having succeeded in China, these phone makers are looking elsewhere to grow. OPPO, China’s fourth-largest smartphone maker according to IDC, is marketing aggressively in southeast Asia. Xiaomi already sells phones in Indonesia, Singapore and Malaysia.
At the Barcelona show, Huawei executive Adam Joshua said that while the company’s focus has been on emerging markets, it also has eyes on “the European market, Australia, and obviously the last big one, the U.S.”
Analysts said Huawei and Xiaomi will likely steal customers from Apple and Samsung in their strongholds as some budget-conscious consumers seek to upgrade their phones without financial pressure.
When South Koreans were just starting to buy smartphones, many upgraded frequently to get longer-lasting batteries, sharper cameras and larger screens.