From:Forbes By:Kenneth Rapoza
Apple is still one of the top three smart phones in China, but the recent cool down in sales has as much to do with local competition from Huawei and Xiaomi as it does from the economic slowdown. Companies like Apple are going to have to learn to live with a maturing market in some cases, and sophisticated, high quality competition from new Chinese contenders.
China is moving up the value chain. Companies like Apple may have American cache on their side, but that’s all they have. China is as loaded with smartphones as they are automotive dealerships. They’re awash in the stuff. What Apple’s disappointing numbers also show is just has fast Chinese firms are moving up the value chain. In other words, look out Cisco, the privately held Huawei is coming for you next.
While corporate America is busy contracting patent lawyers to go after Chinese copy-cats like Huawei and Cisco 10 years ago, Chinese firms are in the process of eating their lunch.
This growth is perhaps the scariest thing emanating out of China for the U.S. Imagine what happens when China taps its deep sea oil reserves? As it is, China is the fourth largest producer of oil after Saudi Arabia, Russia and the U.S., making it bigger than Canada, Venezuela and Brazil, according to the International Energy Agency.
China is moving up the food chain. Literally. In the process, it’s going to take over businesses. ChemChina forked over a cool $43 billion to usurp Monsantoin its acquisition of Swiss multinational agribusiness giant Syngenta. Zoomlion has bid for U.S. crane maker Terex, a potential Trojan horse against the Caterpillar brand.
The Organization for Economic Cooperation and Development says China’s participation in the global value chain increased to 59% in 2011 from 26% in 1995, higher than the 45% in the U.S.
China has been a key player in the shift of global production from developed countries toward developing ones. In value added terms, China has been eroding the U.S., European and Japanese corporate brand market share for the past five years. That is especially true in telecommunications equipment, office machinery and computers.
China laptop maker Lenovo replaced Hewlett Packard as the leading PC vendor in 2012. As of the fourth quarter 2015, Lenovo is still number one with a 21.4% marketshare worldwide. HP has a 20% share and third place Dell has 14.1%, according to the IDC Worldwide Quarterly PC Tracker.
Apple isn’t leaving China. Nor are the Chinese falling out of love with the brand. While competition is surely a long term issue for Apple, the strong dollar can be blamed for its earnings miss.
Sales in China and Hong Kong fell 26% due in part to the Hong Kong dollar, which pegged to the greenback.
“China is particularly worrisome for Apple because it has risen quite quickly to become Apple’s second-most important region,” Brian Blau, a San Francisco-based analyst at Gartner told Bloomberg. “That makes us wonder what the issue is, whether it’s a temporary issue or whether it’s going to be something longer-term.”
The dollar issue may be temporary. But Huawei and Xiaomi are here to stay.
Huawei's latest top-of-the-range handset, the 5.2-inch P9, certainly looks like a premium smartphone should -- all aluminium, glass and soft curves. But it's also a little safe, lacking the futurist stylings of Samsung's Galaxy S7 Edge, for example.
Huawei took to the stage in London in early April to announce the widely anticipated (and hugely leaked) Huawei P9, the latest Android flagship with a dual-camera arrangement never seen before on a phone. We've put the Huawei P9 through its paces and here's our full review including price, release date, design, hardware, cameras and specifications. Also launched was the Huawei P9 Plus, which we've also reviewed.
This week I had the pleasure of being invited to Berlin’s Soho House for a night with Huawei and Baptiste Giabiconi (it almost felt like a Lagerfeld family reunion!). A lot of you reading this will know that I teamed up with Huawei back in December for our project with GQ for A Day In The Life Of project, so I was really keen to see what the tech offering from the new Mate 8 device was like.
BARCELONA (REUTERS) - In the rush for new technology, their presence is hard to ignore. The fastest growing major smartphone vendor of 2015, Huawei is centre stage at this year's Mobile World Congress.
Xiaomi and Huawei are the two largest Chinese smartphone manufacturers at the moment. Xiaomi has shipped most devices within China last year, but Huawei is far ahead in global terms. Huawei has managed to become the world’s third largest smartphone manufacturer last year, after selling 108 million smartphones. It seems like the company plans on growing even further in the coming years, they have really interesting plans, read on.
After last year's unwieldy attempt, Google had to think a little more carefully about how its nerd-friendly Nexus line should work and feel. Rather than just offer one new phone today, Google showed off two -- the Nexus 5X and 6P -- meant for different subsets of people. The former? It provides enough horsepower for the masses in a body that normal humans won't have trouble carrying (and I'll have a deeper dive ready shortly). The 6P, on the other hand, is the more sophisticated cousin, and more impressive than it might look at first glance.
China's Huawei launched a luxury smartphone and gave more details about its new smartwatch on Wednesday as it looks to shake the dominance of Apple and Samsung at the high-end of the device market.
HONG KONG—For the past three years, Samsung Electronics Co.has been the world’s top seller of smartphones, but its global lead is now under attack from fast-growing Chinese rival Huawei Technologies Co.