My Thoughts on Technology and Jamaica: TrendForce's Chinese Smartphone Invasion - How Lenovo, Huawei and Xiaomi will achieve 50% Global Marketshare by 2016 in Latin American and India

Thursday, December 18, 2014

TrendForce's Chinese Smartphone Invasion - How Lenovo, Huawei and Xiaomi will achieve 50% Global Marketshare by 2016 in Latin American and India

Telecom Provider LIME is gearing up for yet another sale over the weekend, this time on Friday December 19th only with discounts as low as 75% on some phones. As before, this info comes to you courtesy of their LIME Twitter Page.

Interestingly, most of these phones are Chinese made smartphones. If you think there are a lot of Chinese and South Korean smartphones, you’re not seeing things!

Taiwan-based analyst TrendForce has projected that smartphone vendors will ship over 450 million smartphones by the end of 2014 as stated in the article “Chinese handsets account for almost 40 percent of Global shipments”, published December 3, 2014 10:20 PM PST by Cho Mu-hyun, CNET News.

According to TrendForce, that's 38.6% of the Global World total. Not surprising too is that the Chinese companies behind this growth have mainly been Lenovo and Huawei, based on the stats from the Second Quarter of 2014 as per my blog article entitled “IDC Stats for Second Quarter of 2014 points to Asian Smartphone Rise – How cheaper smartphones are slowly killing BOTH Apple and Samsung Marketshare”.

Xiaomi is really a minor player in South and East Asia, particularly Singapore and part of mainland China, where they're currently No. 2 in the Chinese Market but No. 5 Globally, according to Kantar Worldpanel Stats as stated in my blog article entitled “Xiaomi No. 2 in China and No. 5 Globally - Strategy Analytics says Small Rice has a GoldenEye View to a Global Kill”.

Chinese smartphone Dominance a win for Google Android – Developers Sweet Tooth for Apps

Good to note here that these are Google Android devices, further stamping Android’s dominance on the Global smartphone Market. This is indicated as to why Developers will continue to make apps for Android as per the analysis in my blog article entitled “Vision Mobile’s 10,000 Developer Global Study – Why Developers prefer developing for Android and Apple iOS yet Enterprise makes Steady Money”.

All three smartphone makers are projected to sell some 60 million handsets, dwarfing even Apple's projections for the iPhone 6 and Apple iPhone 6 Plus in numbers and growth both globally and in China, based on the analysis of Kantar Worldpanel Stats as broken down in my blog article entitled “Kartar Worldpanel Stats say British and Europeans love Apple iPhone 6 - China growing as Consumer Intelligence Report confirms iPhone 6 Plus unnecessary”.

Apple and Samsung are only recording significant growth in the Europe and Britain, with their traditional playpen, the US of A, getting a tad fatigue with Apple and Samsung. The Global Chinese invasion is truly in full swing!

Lenovo, Huawei and Xiaomi - TrendForce predicts 2015 Chinese Invasion of Sub-US199 smartphones

TrendForce stats are interesting and tell a tale of the growing power of Chinese made smartphones, now gaining a foothold in the Caribbean and Jamaica due to their lower than normal pricing points.

This is placing pressure on both Apple and Samsung in their own respective back yards and is even affecting the sales of their Tablets according to stats from analysts Gartner and IDC as noted in my blog article entitled “Gartner and IDC Forecast Tablets, PC fall, Smartphone rise - How Tablet's 3-Year Lifespan means Sub-US$199 Smartphones, Chrome OS to Dominate”.

Already Samsung has begun to feel the pain, with less than stellar Third Quarter of 2014, with their Earning's Call indicating a 60% decline in profits and 20% decline in sales as reported in my blog article entitled “Samsung’s declares 60% Profit and 20% Sales decline - Tizen OS Response needed as India’s Diwali may Light a Path in November towards Future Prosperity

Meanwhile according to TrendForce, the dominance of these Chinese smartphone makers is only set to get stronger, based on their growth record:

1.      50% growth annually since 2011, when they entered the Market
2.      17% growth projected in 2015

This means their current 38.6% of Worldwide smartphone shipments may expand to as much as 50% by 2016. That’s basically 1 in 2 smartphones being sold Globally in 2016 bearing the “Made in China” Logo!

Lenovo, Huawei and Xiaomi invade Latin American and India – 50% Global Marketshare by 2016

Lenovo, Huawei and Xiaomi will ship over 60 million handsets this year, just below the combined muscle of Samsung and Apple. All these of these smartphone makers are eyeing Latin America and India as those Markets aren't yet saturated and are ripe for growth. This explains why both Huawei and Samsung are here in Jamaica, as they see the Caribbean as a springboard into Latin America.

Telecom Provider LIME's previous sale of smartphones, particularly the JA$2999+GCT Huawei Ascend Y330 on Sunday December 14th 2014 as chronicled in my blog article entitled “JA$2999+GCT Huawei Ascend Y330 Sale at @limejamaica - Digicel DL750, DL800 Sale makes JA$6,907.92+GCT per month Samsung Galaxy Note 4 a Steal” is an indication of the coming reality.

Ditto too Digicel's sale of the DL800 aka the ZTE Kis 3 Max and the DL900 aka the  Alcatel One Touch Pop C7 as well as the Alcatel One Touch Pop C1 that took placed over the same weekend as also faithfully chronicled in my blog article entitled “JA$6,950 DL750 and JA$8,250 DL800 on Sale at Digicel – Alcatel One Touch Pop C1 as ZTE Force Awakens and Alcatel’s Empire Strikes Back”, which proves that they're here and willing to cut prices to compete.

Lenovo, Huawei and Xiaomi, at this rate, will achieve 60% of Global smartphones sales by 2016, a win both for the Chinese and Google Android.

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