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Huawei Surpasses #Apple in Worldwide Smartphone Vendor Spot in Q2 2018: Gartner

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Huawei Surpasses #Apple in Worldwide Smartphone Vendor Spot in Q2 2018: Gartner

According to recent reports issued by Gartner, Inc., Huawei has managed to supersede Apple by securing No.2 worldwide smartphone vendor position in the second quarter of 2018, leaving Apple at the 3rd position. It has also been shared that the overall sales of smartphone to end users has escalated to about 2 percent in the second quarter of 2018 to touch 374 million units.

“Huawei’s smartphone sales grew 38.6 percent in the second quarter of 2018. Huawei continues to bring innovative features into its smartphones and expand its smartphone portfolio to cover larger consumer segments,” said Anshul Gupta, research director at Gartner. “Its investment into channels, brand building and positioning of the Honor devices helped drive sales. Huawei is shipping its Honor smartphones into 70 markets worldwide and is emerging as Huawei’s key growth driver.”

Samsung maintained the No. 1 global smartphone vendor spot, declining 12.7 percent in the second quarter of 2018 (see Table 1). “Samsung faces slowing global smartphone demand and ever-growing competition from Chinese manufacturers,” said Mr. Gupta. “The slowing demand for its flagship smartphones left Samsung with lower profitability. It now expects the Note 9 smartphone to revive growth.”

Table 1

Worldwide Top 5 Smartphone Sales to End Users by Vendor in 2Q18 (Thousands of Units)

Vendor 2Q18

Units

2Q18 Market Share (%) 2Q17

Units

2Q17 Market Share (%)
Samsung 72,336.4 19.3 82,855.3 22.6
Huawei 49,846.5 13.3 35,964.3 9.8
Apple 44,715.1 11.9 44,314.8 12.1
Xiaomi 32,825.5 8.8 21,178.5 5.8
OPPO 28,511.1 7.6 26,092.5 7.1
Others 146,096.1 39.0 156,190.8 42.6
Total 374,330.6 100.0 366,596.1 100.0

Source: Gartner (August 2018)

Apple’s performance was flat in the second quarter of 2018 (0.9 percent growth). “Minimal incremental value in Apple’s current-generation flagship iPhones led to slower growth in the second quarter of 2018,” said Mr. Gupta. “Demand for the iPhone X has started to slow down much earlier than when other new models were introduced.”

“Growing competition from Chinese brands and consumers’ greater expectations for phone value is putting immense pressure on Apple to deliver enhanced value on their premium iPhones to foster growth,” added Mr. Gupta.

Xiaomi’s focus on expanding its portfolio and adopting a unified retail model by integrating offline and online retail is driving growth in a slowing global smartphone market. This helped Xiaomi secure the No. 4 spot in the global smartphone market in the second quarter of 2018.

In the smartphone operating system (OS) market, Google’s Android further extended its lead over Apple’s iOS in the second quarter of 2018, securing 88 percent market share to 11.9 percent share for iOS (see Table 2).

Table 2

Worldwide Smartphone Sales to End Users by Operating System in 2Q18 (Thousands of Units)

Operating System 2Q18

Units

2Q18 Market Share (%) 2Q17

Units

2Q17 Market Share (%)
Android 329,503.4 88.0 321,848.2 87.8
iOS 44,715.1 11.9 44,314.8 12.1
Other OS 112.1 0.0 433.1 0.1
Total 374,330.6 100.0 366,596.1 100.0

Source: Gartner (August 2018)

An MBA who switched working from managing a retail chain to knit a brighter world of writing. Diligent and assertive, Prachi has a Bachelor's degree in Computer Applications.

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