Apple may soon be relegated to third place in the smartphone market thanks to a surge in Chinese phone sales.
(CCM) — Apple is on course to be unceremoniously dumped into third place in the smartphone market due to the surging sales of handsets from Chinese smartphone-maker Huawei, according to a market analysis published by Canalys. In the second quarter of the year Apple's iPhone sales were relatively flat, increasing just 2% year-on-year to 41 million units. By contrast, Huawei's sales were up an amazing 20% compared to last year, resulting in total sales of 38 million devices.
If this trend continues, Huawei's smartphone sales will outstrip Apple's some time in the current quarter making it the second largest smartphone vendor. But both companies' sales figures are dwarfed by Samsung's: the South Korean company sells about 80 million Galaxy S8s and other smartphones each quarter.
One reason for the weak demand for Apple's iPhone may be that many potential customers are waiting for the release of the iPhone 8 later this year before making a purchase. But a more worrying explanation for Apple is that the iPhone may have gone out of fashion in the important Chinese market. Many Chinese consumers are preferring to buy Chinese-made handsets, which explains the strong growth of Huawei, as well as smaller manufacturers such as Oppo and Xiaomi which have also enjoyed double digit sales growth in recent months.
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