Samsung and Huawei crush Apple's smartphone global share

[steveluv]

Samsung and Huawei crush Apple's smartphone global market share

It wasn't long ago that it looked like Apple would overtake Samsung to grab the biggest chunk of the global smartphone market. But now the company has been pushed into third place by Huawei.

By Adrian Kingsley-Hughes for Hardware 2.0 | May 6, 2019 -- 07:32 GMT (15:32 GMT+08:00)

 

It's funny how quickly things can change. Three months ago it seemed like Apple was on track to grab the global smartphone market share crown from Samsung, only to be shoved into third place by Chinese maker Huawei.

 

What does this mean for Apple?

 

Here's a chart that tracks the fight between Apple, Samsung, and Huawei over the past five quarters (courtesy of Bloomberg, based on IDC data):

 

 

Well, on a totally business front, market share and revenue (and profits) are two separate things, and it might be foolish to focus too heavily on market share. Look at the dollars and cents, if we take the last quarter revenues and profits, it's clear that market share isn't everything.

 

• Samsung - Revenue: $44.7 billion | Profits: $5.3 billion
• Huawei - Revenue: $26.8 billion | Profits: $2.1 billion
• Apple - Revenue: $58 billion | Profits: $11.6 billion

 

See how revenue and profits tell a different story.

 

But this doesn't mean that Apple shouldn't be worried.

The key to Apple's business is market share. The bigger and more robust market share it can create, the more loyal its customers are, and the more it can sell to them in terms of services and accessories that both help to drive profits and lock users deeper into the ecosystem.

 

The more handsets Samsung and Huawei sell, the harder it becomes for Apple to expand its ecosystem. The companies may even be able to grab customers away from Apple – especially at the bottom end, where consumers are more sensitive to price – further eroding Apple's iOS ecosystem.

 

Another thing to bear in mind is that the Huawei effect hits Apple at the core of a vulnerable market – China. Apple has been eyeing China for years now, seeing it as the perfect venue to cause a market explosion.

 

But this effect hasn't materialized. And with increased pressure from the likes of Huawei, it now seems unlikely. And this could, in the longer term, become a much bigger problem, especially as iPhone sales are going soft all round.

 

And if Huawei is right, and it is able to grab 50% of the smartphone market share in China, and take the global market share top spot away from Samsung by 2020, this could squeeze the iPhone even more.

 

While it's never wise to try to predict the future in too much detail, it's hard to not come to the conclusion that Apple's woes are only just beginning, and that the company's focus on services and things like credit cards might be happening at just the right time.

 

 

 

 

 

[Vid]

Expected. Apple too expensive. Huawei and Samsung have budget smartphones that cater to different consumers.

[Jman888]

volume vs price.

 

Apple at most 4-5 model launch in a year, Samsung and Huawei probably like 20 models altogether. 

[Beregond]

I thought huawei going downhill already since US start wacking them globally

[Count-Bracula]

China market so big, all buy kaki brand enough to kill Apple.

 

OPPO is Best!

[Watwheels]

The hp market is always changing. Today Apple might be losing market share but how about their past track record?  And then in the future it's hard to say who will gain more market share. All such figures and stats say very little. Apple is richer than some small countries.

[Soya]

Apple is turning out to be same ol'same 'ol broken record w little new innovation. The onli thing they r 'clever' nowadays is taking away useful features and upping their price

 

Hv been a longtime iphone user (IP4, 4S, 6S) n was gonna get the Xs. Figured no point as it functions more or less the same as my 3-yr old 6S. Went for the Note 9 instead. No regrets.

Edited May 7, 2019 by Soya

[Blueray]

Apple profit still > Huawei profit + Samsung profit.

[Lala81]

China market so big, all buy kaki brand enough to kill Apple.

 

OPPO is Best!

Oppo is overpriced for its specs compared to xiaomi or oneplus

[Angcheek]

Expected. Apple too expensive. Huawei and Samsung have budget smartphones that cater to different consumers.

Tell that to ur friend that owned 9 iPhones

[Mockngbrd]

I thought huawei going downhill already since US start wacking them globally

How US wack them globally?

[Blueray]

Oppo is overpriced for its specs compared to xiaomi or oneplus

 

Xiaomi spec per $ is  .

[Fcw75]

What does it mean for Apple?

 

Means it’s time for Apple to drop price!

[Beregond]

How US wack them globally?

US is asking all his ally not to use huawei system ma

[Jman888]

US is asking all his ally not to use huawei system ma

 

 

they referring to Huawei 5G network, not the phone.

[Lala81]

Huawei phones. Think its not sold by telcos in USA. The people who have them buy them as standalone.

[Beregond]

they referring to Huawei 5G network, not the phone.

5g network they openly request their ally not to use.

 

but under table, US dun want his ally to use any huawei equipment i think .

[Vid]

Tell that to ur friend that owned 9 iPhones