2018 is the year of the Chinese phone maker. Huawei has continued to exceed Apple’s iPhone sales, overtaking the American tech giant in the second quarter of 2018, and with a much favorable sales forecast for the year-end quarter. Both companies are still behind Samsung in sales.
Huawei faced setbacks
Huawei had its roadblocks on the way. The western governments were not very favorable to the company; thanks to the alleged links with the communist government, and a possible backdoor in their equipment for spying. Huawei was not the only company to face the scrutiny. ZTE had faced similar restrictions in the US.
The US and few of its allies, like the UK, Australia, and New Zealand, are in agreement in banning Chinese companies, like Huawei and ZTE, from providing any electronic hardware support for their upcoming 5G network. Furthermore, Canada is seriously considering in joining hands with these countries in its 5G upgrade. Japan has already put the restriction on any telecommunication equipment purchase from the Chinese tech giants.
Fanning the trade war
Huawei has shipped more than 200 million devices in 2018. The Chinese company has a positive backing in the domestic market. Just recently, we read about Chinese companies encouraging their employees in purchasing Huawei phones over Apple’s iPhone.
The surge in the nationalistic sentiments in China is attributed mainly due to the actions of the US and its allies. Earlier this month Huawei CFO, Meng Wanzhou, was arrested in Canada over the Chinese company’s alleged violation of the US trade sanctions against Iran.
Huawei finished third in sales in 2017 with 10.4% of the global smartphone market share. Meanwhile. Apple was second with 14.7% in sales, and Samsung topped the chart with 21.6% of its global sales.
High end phones like P20, Mate 20, and Honor 10 helped the Chinese phone maker with the increased sales number due to their competitive price tag. The company did very favorably in the European, African, and Asian markets despite the general sales lag on smartphones in the international market.
Around 351 million smartphones were sold in the second half of this year. That figure was 2% less than the sales data from 2017.
China is a big market for Apple’s iPhones. Earlier this year, Apple’s CEO, Tim Cook, boasted of the all-time record revenue in the second quarter in mainland China. The company made $17.8 billion during the period, an 11% increase in sales from the previous year data.
With the increasing cornering of Apple products, seen as an American symbol, in China, the sale of iPhones is expected to suffer even more going 2019.