China’s Xiaomi overtook Apple for the first time as the world’s third-largest smartphone maker in terms of shipments in the 7th quarter to September, bringing the US tech company out of the global top three for the first time. First after 10 years, three key market data providers said.
According to Canalys, IDC and Counterpoint Research, the world’s top three smartphone companies today are all from Asia. The latest statistics come when Apple on Thursday announced a 29% decrease in sales from the same period a year ago in the Chinese market for the three months to September.
According to Counterpoint, Xiaomi had a 46% increase in shipments from a year ago in the three months to September, with 46.2 million handsets. Apple recorded a 7% drop in shipments from the same period last year, selling 41.7 million iPhones in the 7-9 quarter.
Canalys said Apple has reduced the number of shipments by 1%, while Xiaomi increased 45% over the same period last year. Apple’s shipments fell more than 10 percent while that of Xiaomi’s increased 42 percent, IDC said.
Xiaomi’s milestone comes as the global smartphone industry recorded a 4% drop in the quarter, as many consumers refused to buy the phone until the launch of the first 5G iPhone, which was delayed. delay until mid-October. Xiaomi also benefits from difficulties faced by its biggest domestic rival, Huawei Technologies, which is losing foothold in overseas markets due to US crackdown on the ty.
Xiaomi, founded in 2010 by Lei Jun, was nicknamed the “Apple of China” in its history, but later promoted itself as a data-focused internet company, introduced An array of connected devices, from smart TVs and wireless headphones to smart speakers and smart bulbs. Since then, the Beijing-based smartphone maker has made a name for itself by offering products with premium specifications at affordable prices.
“Xiaomi has been actively moving to embrace [market share] from Huawei, ”said Mo Jia, an analyst at Canalys. “There was symmetry in the third quarter, when Xiaomi added 14.5 million units and Huawei lost 15.1 million. In Europe, an important battleground, Huawei’s shipments fell 25%, while Xiaomi increased 88%. . . Xiaomi ventured to set high production targets, but the move paid off as it was able to fill channels in Q3 with high volume budget devices, such as the Redmi 9 ”series. .
However, the analyst said Xiaomi still faces competition from fellow countrymen Oppo and Vivo, which have grown to cover many price ranges in Southeast Asia. They are also now pushing into Europe, where they are positioning themselves more in the premium price range, potentially trapping Xiaomi in the lower end of the market.
This article is from Nikkei Asia, a global publication with unique Asian perspectives on politics, economics, business and international affairs. Our reporters and outside commentators from around the world share their views on Asia, while our Asia300 section provides insights into the 300 largest listed companies. and fastest growing from 11 economies outside Japan.
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Samsung regained its position as the world’s top smartphone maker in the 7-9 quarter, data from all three suppliers showed, after the Korean company was overtaken by Huawei in the previous quarter. Huawei ranked second in the September quarter, with a market share of about 14% to 15%, although according to IDC, its smartphone shipments fell 22%.
According to many market observers, Huawei’s ratings may continue to decline, although there are some signs that Washington is easing restrictions by licensing major display and sensor suppliers. , including Samsung Display and Sony.
Meanwhile, Xiaomi’s overtaking Apple may be temporary, as the long-awaited 5G iPhone launch in the final quarter of the year could help the Cupertino-based company rebound in shipments. .
The overall outlook for the smartphone industry is still in turmoil, as a new wave of Covid-19 is hitting Europe and governments are grappling with whether to impose multiple widescreen locks. Can more damage the economy or not.
Another version of this article first published by Nikkei Asia on October 30, 2020. © 2020 Nikkei Inc. All rights reserved
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