Fiscal reports of the last quarter of 2018 are out and it seems like Apple iPhone shipments in China, among the largest market for Apple Products, have been poor, a reported drop of 20%. This coincides with Huawei dethroning Apple from the second spot as the Word’s Top Smartphone Producer.
Huawei hasn’t had a relatively good year in smartphone sales in the US, with reports of data breaches and the Chinese manufacturer providing user data to the Chinese, has affected smartphone sales. With that in mind, Huawei strengthened itself in its native country, China, as it remains the leader through exceptional increase in shipments of about 23.3 percent.
Wonder what’s happened to Apple? Well, its not just because of Huawei’s soaring growth but also due to a multitude factors some of them being the slowest economic growth that China has seen since 2009, resulting in a 27 percent decrease in iPhone sales during the final quarter. iPhone’s hefty price has made matters worse with people questioning the lack of innovation on Apple’s side and majority unwilling to dig deep into their pockets to pay just for the brand’s identity.
According to reports from IDC, the domestic market declined 9.7 percent while Apple was hit harder with its decline being double. However, Apple still holds the fourth position in terms of performance, with Huawei, Oppo and Vivo taking superior positions in the market. Though, Xiaomi, another China-based Company fared worse than Apple with a drop of 35 percent.
APPLE IPHONE SHIPMENT DECLINE LEADS TO HUAWEI STRENGTHENING ITS HOME BASE-CHINA
The final few months of 2018 has seen Apple’s revenue from the iPhone slide 15%. Apple compensated these losses with the services it provides and earned almost $52 billion in revenue from the greater part of China, including Hong Kong. Apple is still confident in China being a vital market for its products.