Chinese smartphone shipments have dropped by 21%, reaching the lowest since 2013. For the first time since 2013, the total number of smartphones shipped in China went down the 100 million mark as reported by Canalys.
The report discloses, “Eight of the top 10 smartphone vendors were hit by annual declines, with Gionee, Meizu, and Samsung shrinking to less than half of their respective Q1 2017 numbers.”
Only Xiaomi was able to show some positive growth. Xiaomi’s sales went up by 37% and reached 12 million. Xiaomi even overtook Apple to reach the fourth place.
Xiaomi sales are highly dependent upon its affordable $150 Redmi range.
The Chinese smartphone shipment was dominated by the three leading Chinese smartphone makers, Huawei, Oppo, and Vivo. These three companies combined with Xiaomi account for 73% of the shipment.
Interesting: Chinese smartphone makers will beat Apple & Samsung
As per Canalys, this isn’t a good news for the consumers and Chinese smartphone makers.
Mo Jia an analyst said, “The level of competition has forced every vendor to imitate the others’ product portfolios and go-to-market strategies. While Huawei, Oppo, Vivo, and Xiaomi must contend with a shrinking Chinese market, they can take comfort from the fact that it will continue to consolidate, and that their size will help them last longer than other smaller players.”
Now Canalys do feel that in the second quarter there might be some growth seen as Oppo, Vivo and Huawei will launch new devices. But the issue has started in China, quite similar to the USA, that its users are not ready to change or upgrade their phones as frequently as anticipated & hoped by the makers.
If we talk about global smartphone sales, after Apple and Samsung, there is a whole line of these Chinese smartphone makers, strengthening their position in the global arena with each passing day. So Chinese smartphone makers do have a strong position but they need to maintain it.
Media coordinator and junior editor at Research Snipers RS-NEWS, I studied mass communication and interested technology business, I have 3 years experience in the media industry.