Huawei Surges in China as Apple Struggles to Keep Up

In Beijing, Huawei’s flagship store witnessed a surge in excitement on April 18, 2024, as the company launched its new Pura 70 series smartphones. The comeback of the Shenzhen-based giant was met with enthusiasm from customers eager to purchase the latest technology.

According to Counterpoint Research, Huawei saw a remarkable increase of 70% in smartphone sales in China during the first quarter of this year, while Apple experienced a decline of more than 19%. Ivan Lam, a senior research analyst at Counterpoint, noted that Apple’s sales were impacted by Huawei’s resurgence and their premium segment.

Last year, Apple led China’s smartphone market with nearly 20% share. However, their market share has dropped to third place in the first quarter of this year with a share of 15.7%, while Huawei has spiked to 15.5% from 9.3% in the previous year. Despite the growth of overall smartphone sales by 1.5% in China during the first quarter, local brands such as Vivo and Honor have dominated the market.

Huawei created buzz last year with its Mate 60 Pro smartphone and raised eyebrows among industry experts when the US government sought more information about its advanced processor due to national security concerns. This issue highlighted how restrictions imposed by foreign governments can limit access to foreign chip technology and impact competition in the Chinese market.

Recent data from IDC showed that Apple’s global smartphone sales had plummeted by 10% in the first quarter, largely due to waning momentum in China. With Chinese consumers increasingly turning to local brands over foreign ones, Apple is facing challenges as they try to maintain their foothold in the competitive landscape.

Overall, Huawei’s resurgence has disrupted traditional power dynamics within China’s smartphone market and left established players like Apple struggling to keep up with changing consumer preferences and technological advancements.