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Strategy Analytics: Huawei Overtakes Apple to Become World's Second Largest Smartphone Vendor in Q2 2018

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According to the latest research from Strategy Analytics, global
smartphone shipments fell 3 percent annually
to reach 350
million units in Q2 2018. Samsung maintained first position with 20
percent global smartphone marketshare, while Huawei overtook Apple for
the first time ever to become the world's second largest smartphone
vendor.

Linda Sui, Director at Strategy Analytics, said, "Global smartphone
shipments fell 3 percent annually from 360.4 million units in Q2 2017 to
350.4 million in Q2 2018. The global smartphone market has slowed down
this year, due to longer replacement rates, diminishing carrier
subsidies, and a lack of new hardware design innovation."

Neil Mawston, Executive Director at Strategy Analytics, added, "Samsung
shipped 71.5 million smartphones worldwide in Q2 2018, tumbling 10
percent annually from 79.5 million units in Q2 2017. This was Samsung's
worst quarterly performance since the third quarter of 2016. Samsung is
being squeezed by Chinese rivals, like Xiaomi and Huawei, across major
Asian markets such as China and India. Huawei soared 41 percent annually
from 38.4 million smartphones shipped worldwide during Q2 2017 to a
record 54.2 million units in Q2 2018. Huawei overtook Apple for the
first time ever to become the world's second largest smartphone vendor.
Huawei captured 15 percent global smartphone marketshare in the quarter.
Huawei's midrange Android models, such as Nova 2S and Nova 3e, are
proving wildly popular across Asia and Europe."

Woody Oh, Director at Strategy Analytics, added, "Apple grew an
above-average 1 percent annually and shipped 41.3 million iPhones for 12
percent smartphone marketshare worldwide in Q2 2018. Apple continues to
grow in smartphones, but at a much slower pace than key Chinese rivals
such as Huawei and Xiaomi. Apple will need to innovate new designs for
the iPhone if it wants to grow future volumes, perhaps by adding new
features such as dual SIM cards or foldable screens."

Linda Sui, Director at Strategy Analytics, added, "Xiaomi shipped an
impressive 32.0 million smartphones and held fourth position with a
record 9 percent global marketshare in Q2 2018, lifting from 6 percent
share a year ago. Xiaomi's growth increased 38 percent annually in the
quarter, but this was down from the 58 percent rate it hit a year ago.
Xiaomi is now slowing, due to fresh competition from Huawei in its key
markets of India and China. OPPO held fifth place, capturing 9 percent
global smartphone marketshare in Q2 2018, up slightly from 8 percent a
year ago. OPPO has been hit hard by Xiaomi's rapid expansion in the past
year, but OPPO is finally stabilizing and fighting back with keener
pricing and enhanced new models such as the R15 with dual SIM cards."

   

Exhibit 1: Global Smartphone Vendor Shipments and Marketshare in
Q2 2018 1

 
Global Smartphone Vendor Shipments (Millions of Units)   Q2 '17   Q2 '18
Samsung 79.5 71.5
Huawei 38.4 54.2
Apple 41.0 41.3
Xiaomi 23.2 32.0
OPPO 29.5 30.2
Others   148.8   121.2
Total   360.4   350.4
 
Global Smartphone Vendor Marketshare (%)   Q2 '17   Q2 '18
Samsung 22.1% 20.4%
Huawei 10.7% 15.5%
Apple 11.4% 11.8%
Xiaomi 6.4% 9.1%
OPPO 8.2% 8.6%
Others   41.3%   34.6%
Total   100.0%   100.0%
 
Total Growth: Year-over-Year (%) 5.5% -2.8%
 
Source: Strategy Analytics
 

The full report, Huawei Overtakes Apple as Global Smartphone
Shipments Hit 350 Million in Q2 2018
, is published by the Strategy
Analytics Wireless Smartphone Strategies (WSS) service, details of which
can be found here: https://tinyurl.com/y75uhw62.

1 Numbers are rounded.

About Strategy Analytics:

Strategy Analytics is a global, independent research and consulting
firm. The company is headquartered in Boston, USA, with offices in the
UK, France, Germany, Japan, South Korea, Taiwan, India and China. Visit www.strategyanalytics.com
for more information.

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