IDC: Huawei overtakes Apple in smartphone sales

IDC’s Q1 2019 (January-March 2019 shipment) figures gave quite a few interesting statistics. Total smartphones shipped stood at 310.8 million units, down from 332.7 millon units shipped in Q1 2018. Every OEM in top 6 except Huawei and Vivo registered negative growth and Huawei registered unbelievable 50.3% growth. Asian brands are now shipping more than 80% of smartphones across the globe and this is only going to get better.

Smartphone industry has shrunk by 6.6% in Q1 2019, continuing the downfall for sixth quarter in a row, starting back in 2017 Q4 (Oct-Dec 2017). Total smartphones shipped stood at 310.8 million units, out of which Chinese brands Huawei, Xiaomi, Oppo and Vivo shipped total of 130.4 million units, capturing 41.9% of share. Add other Chinese brands and we will see over 60% of market in Chinese hands.

Apple’s fast tracked decline continued in this quarter as their shipments were down by 30%. Apple could only ship 36.4 million smartphones this quarter. Huge price cuts in China in India did not help much as the pricing of iPhone is still beyond the reach of common man. Even for the rich, Android makers started offering far better package (Huawei P30 Pro, Samsung S10 series, Google Pixel 3 XL, OnePlus 6T etc) for much lower price.

Vivo is another brand that registered strong growth of 20.2% and the other brand in BBK’s kit, Oppo registered tiny decline of 6%.

“It is becoming increasingly clear that Huawei is laser focused on growing its stature in the world of mobile devices, with smartphones being its lead horse,” said Ryan Reith, program vice president with IDC’s Worldwide Mobile Device Trackers. “The overall smartphone market continues to be challenged in almost all areas, yet Huawei was able to grow shipments by 50%, not only signifying a clear number two in terms of market share but also closing the gap on the market leader Samsung. This new ranking of Samsung, Huawei, and Apple is very likely what we’ll see when 2019 is all said and done.”

“The less than stellar first quarter in the United States can be attributed to the continued slowdown we are witnessing at the high end of the market,” said Anthony Scarsella, research manager with IDC’s Worldwide Quarterly Mobile Phone Tracker. “Consumers continue to hold on to their phones longer than before as newer higher priced models offer little incentive to shell out top dollar to upgrade. Moreover, the pending arrival of 5G handsets could have consumers waiting until both the networks and devices are ready for prime time in 2020.”

Source: IDC