Wednesday, August 12, 2020

Samsung is no longer the world’s biggest smartphone vendor

For the first time, Huawei shipped more smartphones worldwide than any other vendor in the second quarter of 2020. It happens to be for the first time in nine years that any company other than Apple or Samsung has topped the sales in one particular quarter.

Huawei sold the most phones during the April-June period this year, Canalys’s report said. Huwaei was on the road to achieving this feat eventually until the USA blocked Huwaei from using many primary American services, including Google services. Since then, it was almost looking like this was never going to happen as Huwaei sales dropped drastically in the US and other western countries. With this, the Huwaei’s market had narrowed down a lot. To an extent where 70% of all their mobile sales are now in China. At the same time, the other two major competitors(Samsung and Apple) had a more extensive reach across countries.

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The countries in which Samsung dominated the sales have been hugely affected by the current pandemic. China, even though one of the first countries to be affected, is doing fine now compared to other countries. China’s mobile sales have also not been affected much when we compare it to the global smartphone market. Due to this, Huwaei had a significant advantage this quarter, and it is the primary reason for them topping the sales.

“This is a remarkable result that few people would have predicted a year ago, if it wasn’t for COVID-19, it wouldn’t have happened. Huawei has taken full advantage of the Chinese economic recovery to reignite its smartphone business. Samsung has a very small presence in China, with less than 1% market share, and has seen its core markets, such as Brazil, India, the United States, and Europe, ravaged by outbreaks and subsequent,” said Canalys Senior Analyst Ben Stanton.

“Taking first place is very important for Huawei. It is desperate to showcase its brand strength to domestic consumers, component suppliers, and developers. It needs to convince them to invest and will broadcast the message of its success far and wide in the coming months. But it will be hard for Huawei to maintain its lead in the long term. Its major channel partners in key regions, such as Europe, are increasingly wary of ranging Huawei devices, taking on fewer models, and bringing in new brands to reduce risk. Strength in China alone will not be enough to sustain Huawei at the top once the global economy starts to recover,” said Canalys Analyst Mo Jia.

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