IDC: Huawei Stays Second Top Smartphone Company in 1Q20
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By EDD K. USMAN
(SDN) — POWERED by its leading market share in China, Huawei Technologies is the world’s second top smartphone company.
The ranking is from International Data Corporation’s (IDC) survey for the 1st Quarter of 2020 (1Q20). Samsung remains at the top of the heap.
Here are the numbers for 1Q20 of phone shipment volume for the Top 5 smartphone vendors, according to IDC:
- Samsung — 58.3 million
- Huawei — 49.0 million
- Apple — 36.7 million
- Xiaomi — 29.5 million
- Vivo — 24.8 million
In terms of market share in the same period:
- Samsung — 21.1 percent
- Huawei — 17.8 percent
- Apple — 13.3 percent
- Xiaomi — 10.7 percent
- Vivo — 9.0 percent
Compare the figures to 1Q19, before the global pandemic of the novel coronavirus which triggered the coronavirus disease 2019 (Covid-19) and, for Huawei, before the United States ban on doing business with American companies.
Their 1Q19 shipment volume
- Samsung — 71.9 million
- Huawei — 59.1 million
- Apple — 36.8 million
- Xiaomi — 27.8 million
- Vivo — 23.2 million
It can be recalled that China’s Huawei was aiming to topple South Korea’s Samsung in 2020 at the earliest, and was anticipated to do it, but the trail to the Mount Everest summit of the smartphone world was waylaid by the US ban and, now, the deadly pandemic that continues to sweep the world while sharply disrupting economies.
While Huawei Technologies founded in 1987 by Ren Zhengfei, a former officer and engineer of the People’s Liberation Army (PLA), declined 17.8 percent in share of the global smartphone market, it nevertheless remained at the second ranking.
IDC explained how the top Chinese smartphone brand did it.
“(Huawei) reduced the impact of the downturn with early price cuts on Mate 30 and P30 series and in Honor’s V30 and 9X series along with a diversified online-offline channel mix which helped reach consumers even during periods of hard lockdown.”
The company, the world No. 1 telecommunications equipment maker/vendor, also received a boost from its sales in China, also in the first quarter of 2020, thus it maintained its being the global No. 2. Additionally, Huawei, said IDC became the only firm that registered a 6 percent positive growth in 1Q20.
Perhaps, not surprisingly, as Huawei Central noted, of the many smartphone makers in China, Huawei is the only brand that achieved positive year on year (YoY) growth in its homeland in 1Q20 (as published by Counterpoint).
Meanwhile, IDC noted the contraction of worldwide smartphone shipments, which decreased 11 percent YoY in the same period. IDC’s figures are still preliminary.
Taken collectively, smartphone companies shipped a total of 275.8 million smartphones during the period cited above.
“The drop comes as no surprise as 1Q20 marked the beginning of the Covid-19 pandemic and the peak of lockdowns in China, which extended to the rest of the world by the end of the quarter,” notes IDC.
IDC said China had the largest regional decline in 1Q20 marked by a 20.3 percent decline YoY.
“Other regions that contributed to the drastic worldwide decline were the United States and Western Europe, which declined by 16.1 percent and 18.3 percent, respectively,” the market analyst company observes.
Nabila Popal, research director with IDC’s Worldwide Mobile Device Trackers, has this to say:
“What started as primarily a supply-side problem initially limited to China has grown into a global economic crisis with the demand-side impact starting to show by the end of the quarter.
“While the supply chain in China started to recover at end of the quarter, as IDC expected, major economies around the world went into complete lockdown causing consumer demand to flat-line,” says Popal.
On the other hand, whether Huawei Technologies regained the global momentum it once had before the US ban and the novel coronavirus pandemic, time will only tell. (SDN)