Posts tagged ‘Smartphone’

  |  
27/01/2016

With China weakening, Apple turns to India | Reuters

As China sales show signs of cooling, Apple Inc (AAPL.O) is touting India’s appetite for iPhones, betting that rising wages and an expanding middle class will pull consumers away from the cheap alternatives that currently dominate the market.

In an earnings call in which the company reported meager iPhone growth and forecast its first revenue drop in 13 years, the Indian market stood out as a rare bright spot for Apple.

Sales of the company’s flagship smartphone climbed 76 percent in India from the year-ago quarter, Apple Chief Financial Officer Luca Maestri said.

According to data compiled by Counterpoint Technology Research, Apple sold an estimated 800,000 iPhones in India in the fourth-quarter, its highest ever amount but one that is a fraction of the 28 million smartphones sold during that period.

Growth in India is a tantalizing prospect as Apple grapples with the economic downturn in China, its second largest market. While revenue in Greater China rose 14 percent in the last quarter, Apple is beginning to see a shift in the economy, particularly in Hong Kong, Maestri told Reuters in an interview.

But with nearly 70 percent of smartphones selling for less than $150 in India, Apple’s high-end phones remain out of reach of most consumers. The basic iPhone 6S sells at just under $700 in India, or nearly half the average annual wage.

“In many ways India is very similar to what China was a few years ago, but the middle class here is still very small and it can be two to three years before Apple gets a similar level of success in India,” said Counterpoint Technology Research analyst Tarun Pathak.

Apple CEO Tim Cook struck a more optimistic note, saying the company was “increasingly putting more energy” into India, citing a largely youthful population with rising disposable income as more people join the workforce.

With faster 4G coverage expanding, Apple has already asked Indian government for a license to set up its own retail stores just as the market seems to be turning in its favor.

As in China, Apple products are a coveted status symbol in India, a market that analysts say is likely to overtake the United States next year to become the world’s second largest smartphone market. “The love for the iPhone is there,” said Carolina Milanesi, chief of research and head of U.S. business at Kantar Worldpanel ComTech, a consumer research firm.

Source: With China weakening, Apple turns to India | Reuters

Posted in China alert, Chindia Alert, Economics, India alert, Technology | 1 Comment »

Tags: , , , , , , , , ,
12/08/2015

India’s Smartphone Market Is Booming – Especially at the Low End – India Real Time – WSJ

Xiaomi Corp., which announced Monday that its some of its phones are now being assembled at a factory in India, isn’t the only Chinese smartphone maker with its eye on the subcontinent.

With the Chinese economy slowing and demand for smartphones picking up in India, Chinese handset makers including Lenovo Group Ltd.0992.HK +1.70%, Huawei Technologies Co. and Gionee Communication Equipment Co.  are looking to produce and sell more phones in the world’s second-most-populous nation.

But Indian consumers prefer cheaper phones than their Chinese counterparts. Roughly half of smartphones sold in India for the three months ended in June cost less than $100. In China, these low-end smartphones accounted for about 20% of the market over the same period, according to research company International Data Corp. IDC predicts the average selling price of Indian smartphones will fall to $102 in 2018 from $135 in 2014.

The $100 Galaxy J1 and other inexpensive handsets drove sales for Indian smartphone market-leader Samsung Electronics Co.005930.SE 0.00%, helping to increase its share of sales to 23% of the smartphones sold during the quarter ended June 30. In other markets, including China, sales are driven by its flagship Galaxy S6 and Galaxy S6 Edge, which sell for around $600 and $700, respectively, in the U.S.

Smartphone penetration is growing rapidly. While Internet penetration levels in India resemble China’s numbers from six years ago, smartphone penetration is only four years behind, according to a Credit Suisse report. The skyrocketing growth has even caught the attention of Apple Inc.AAPL -5.49%, which recently started offering financing to make its iPhones more accessible to Indians.

That might be bad news for smartphone manufacturers who operate on already razor-thin margins, but it’s potentially good news for Indian consumers and the Indian economy.

It also helps explain why contract manufacturing giant Foxconn says it intends invest billions of dollars setting up factories in India, and why Xiaomi recently announced its first made-in-India smartphone, the $107 Redmi 2 Prime. Changes to tax rules now make it cheaper to manufacture electronics in India. It also shortens the supply chain, meaning phone-makers can get their products to consumers faster and reduce inventory costs.

via India’s Smartphone Market Is Booming – Especially at the Low End – India Real Time – WSJ.

Posted in Digital communications, Economics, India alert, Technology | Leave a Comment »

Tags: , , , , , , , , ,
02/04/2015

African phone sales soar, Chinese makers have 30% of market – Business – Chinadaily.com.cn

With a growing number of Chinese cell phone makers taking giant strides in overseas markets, Africa, with its huge population, is also in its sights.

African phone sales soar, Chinese makers have 30% of market

OPPO, a Chinese producer, has unveiled two smartphones, OPPO N3 and OPPO N5, in Morocco, taking the number of Chinese cell phone makers in Africa above 10.

The first batch of manufactures entering the African market were copy makers based in Shenzhen, South China’s Guangdong province, China Business News cited Yan Zhanmeng, a senior analyst of IDC China, as saying. With a smartphone boom in 2013, more famous Chinese makers have been tapping into the market, Yan added.

IDC data showed that the market share of Chinese cell phone brands rose to 30 percent in 2014, from 15 percent two years earlier. Huawei, Tecno and Alcatel have entered the top five in the African market, which surged 108 percent last year.

Africa has a population of one billion, accounting for 15 percent of the world population. Most important is that the number of cell phone users has exceed 200 million, even during the 2009 financial crisis, the growth rate hit 14.8 percent.

Nigeria, with the biggest population in Africa, currently has the most cell phone users, accounting for 16 percent of total users on the continent, followed by Egypt and South Africa. In the next five years, the most obvious growth will focused in Central and East Africa, among which growth in Ethiopia, Congo, Eritrea and Madagascar is expected to exceed 100 percent.

via African phone sales soar, Chinese makers have 30% of market – Business – Chinadaily.com.cn.

Related articles

Posted in China alert, Economics, exports, smartphone | Leave a Comment »

Tags: , , , , , , , ,
05/09/2014

India’s $33 Smartphone Sales Surge, Setting the Stage for a Shakeup – India Real Time – WSJ

The maker of India’s $33 Mozilla Firefox smartphone says sales of the world’s cheapest smartphone have been strong since it launched last week.

Intex Technologies India Ltd. said it quickly sold out of its first batch of Cloud FX phones–which use Mozilla Corp.’s Firefox operating system—and that it has already had to order another large shipment. It expects to sell 100,000 handsets this month and a total of 500,000 by the end of the year, the company said.

Another super-cheap Firefox-powered smartphone hit the Indian market on Tuesday. India’s Spice Retail Ltd. started selling its Spice Fire One Mi FX1 for about $37. The company did not respond to requests for early sales figures.

The less-than-2,000-rupee price tags make the Firefox mobile operating system smartphones more than 30% cheaper than the least-expensive smartphones which use Google Inc.’s Android operating system.

Other phone sellers say they are also planning Firefox handsets. India’s Karbonn Mobiles says it plans to launch a $41 Firefox smartphone by the end of September. It will be less than half the price of Karbonn’s latest Android phone, making it a “game changer,” said Pardeep Jain, managing director of Jaina Mobiles India Pvt., which  controls the Karbonn brand.

Reviews for the ultralow-cost phones have so far been generally positive. While the phones may lack some functionality and speed, buyers and technology reporters agreed they were still a great deal for the price and a good option for first-time smartphone buyers who use their phones for basic calls, web surfing and social networking.

While Mozilla phones will make smartphones affordable to millions of new users, they will likely get more competition soon on price from Android, the operating system used on most phones from Samsung Electronics and others, analysts said.

Google is expected to launch its Android One low-cost smartphone in the next few weeks.

via India’s $33 Smartphone Sales Surge, Setting the Stage for a Shakeup – India Real Time – WSJ.

Posted in Digital communications, Economics, India alert, Technology | Leave a Comment »

Tags: , , , , , , , , , , , ,
11/06/2014

Mozilla to Sell $25 Smartphones in India and Indonesia – India Real Time – WSJ

Smartphones as cheap as $25 powered by Mozilla Corp.’s software will be available in India and Indonesia later this year, an executive said.

Mozilla has been pitching its Firefox mobile operating system for low-cost smartphones in emerging markets as an alternative to Google Inc.’s Android and iOS from Apple Inc. through partnerships with major handset vendors, carriers and assemblers since July.

The U. S-based company has collaborated with four handset makers such as ZTE Corp.000063.SZ +1.32% , LG Electronics Co. 066570.SE +0.13% and five wireless carriers including Telefonica SA, TEF.MC -0.16% Deutsche Telekom AG DTE.XE -0.59% ,America Movil SAB AMX.MX -0.30% to launch five Firefox-powered smartphones in Europe and Latin America so far.

But the price for these smartphones are above US$60 and are still too expensive for most consumers in India and other Southeast Asian countries, Mozilla Chief Operating Officer Gong Li said in an interview on the sidelines of the Mobile Asia Expo.

“One U.S. dollar means a lot of things to consumers in emerging countries. It’s difficult to sell smartphones that cost more than US$50 in those markets,” he said.

To tap the next billion first-time smartphone users, Mozilla is collaborating with Chinese chip maker Spreadtrum Communications Inc. to unveil a low-cost chipset that enables smartphones to be priced at $25 this year.

“With a $25 price tag, there is no price gap between a smartphone and a feature phone. This attractive price point would help motivate feature phone users to switch to smartphones,” said Mr. Gong.

via Mozilla to Sell $25 Smartphones in India and Indonesia – India Real Time – WSJ.

Related articles

Posted in Digital communications, Economics, India alert, innovation, mobile tech, Technology | Leave a Comment »

Tags: , , , , , , , , , , ,
29/01/2014

China’s Homegrown Answers to Apple and Samsung – China Real Time Report – WSJ

China is one of the fastest growing smartphone markets and several homegrown brands, such as Oppo and Coolpad, are seeking to challenge Apple and Samsung’s duopoly. As Lorraine Luk and Juro Osawa report:

Virtually unheard of outside China, several homegrown brands are gaining ground and seeking to challenge the technology giants’ duopoly. Working in their favor: advanced hardware at lower prices, strong relationship with Chinese carriers, as well as creative ways to build a fan base through social media and online forums.

Hundreds of millions of Chinese mobile users still haven’t replaced their basic phones, making the country a critical battleground for global smartphone brands at a time when growth is slowing in the U.S. and other mature markets.

China’s mobile market is so big that some local handset vendors, despite focusing mainly on the domestic market, already sell more smartphones overall than global competitors. In the third quarter of last year, Coolpad, the smartphone brand of China’s Yulong Computer Telecommunication Scientific (Shenzhen) Co., was the sixth-biggest smartphone vendor by units sold world-wide.

via China’s Homegrown Answers to Apple and Samsung – China Real Time Report – WSJ.

Enhanced by Zemanta

Posted in China alert, Digital communications, Economics, Technology | Leave a Comment »

Tags: , , , , , ,
25/01/2013

* China’s Huawei Creeps up on Apple, Samsung

WSJ: “As Samsung Electronics Co. and Apple Inc.  try to defend their dominance in the smartphone market, the latest data show China’s Huawei Technologies Co. coming third in terms of market share for the first time, indicating that a rapid increase of smartphone users in China and other emerging markets may be starting to alter the global landscape.

According to research firm IDC, Samsung’s smartphone market share in the fourth quarter through December rose to 29% from 22.5% a year earlier, while Apple’s share dropped slightly to 21.8% from 23%. Meanwhile, Huawei’s share rose to 4.9% from 3.5%, ahead of Japan’s Sony Corp. , whose share also increased to 4.5% from 3.9% a year earlier. Another Chinese company ZTE Corp., came fifth with 4.3%.

“The fact that Huawei and ZTE now find themselves among the Top 5 smartphone vendors marks a significant shift for the global market,” said IDC research manager Ramon Llamas.

via China’s Huawei Creeps up on Apple, Samsung – China Real Time Report – WSJ.

Posted in Affluence, China alert, Digital communications, Economics, innovation, patents | Leave a Comment »

Tags: , , , , , , , , , , , ,
20/07/2012

* Rural Chinese get online as mobile overtakes desktop

BBC News: “Mobile phones are now the most common way for people to connect to the internet in China, a report has said.

For the first time, desktop computers are no longer the leading method for the country’s 538 million connected citizens to get online.

The report from the China Internet Network Information Center (CINIC) said over 50% of the year’s new internet users were from rural areas.

A fall in smartphone costs has been the key cause of growth, experts said. “Mobile phones are a cheaper and more convenient way to access the internet for [residents in] China’s vast rural areas and for the enormous migrant population,” said the report from the state-linked CINIC.

Mobile internet users now number 388 million, up almost 10% since the start of the year. “Mobile phone prices continued to drop,” the report said.

“The emergence of smartphones under 1,000 yuan [$157, £100] sharply lowered the threshold for using the devices and encouraged average mobile phone users to become mobile web surfers.”

The total number of those online has risen 5% since the end of last year, many of whom are very active in cyberspace.”

via BBC News – Rural Chinese get online as mobile overtakes desktop.

See also: https://chindia-alert.org/economic-factors/information-technology/

Posted in Affluence, China alert, Digital communications, Economics, Technology | Leave a Comment »

Tags: , , , , , , , , , , , , ,
07/05/2012

* Lenovo Reaches Beyond PC Business

WSJ: “Personal-computer maker Lenovo Group Ltd. said Monday that it plans to spend about $800 million on a new base to house the development, production and sale of mobile products as the Chinese company tries to expand beyond its core PC business.

Lenovo Ideapad U8 MID example

Lenovo Ideapad U8 MID example (Photo credit: Wikipedia)

Lenovo, the world’s second-largest PC maker, said in a written statement on Monday that the five-billion-yuan facility, in the central Chinese city of Wuhan, will have several thousand employees, mainly focused on smartphones, tablet computers and other mobile devices for China and global markets. The company estimates total revenue from the base will reach 10 billion yuan $1.59 billion by 2014, and increase to 50 billion yuan within the next five years. The facility is expected to begin operations in October 2013.

Now, the company is making a mobile-devices push. The investment represents the company’s latest effort to break into new product categories as PC sales lag behind demand for mobile devices, including smartphones and tablets. Lenovo created a business unit last year called the Mobile Internet Digital Home group to focus on developing smartphones, tablets and Internet-connected smart television sets that can communicate with the mobile devices.”

via Lenovo Reaches Beyond PC Business – WSJ.com.

See also: Chinese innovation

Posted in Chindia Alert, Consumer, Economics, Manufacturing, Technology | Leave a Comment »

Tags: , , , , , , , ,
  |  
CCChang

Law of Unintended Consequences

continuously updated blog about China & India

ChiaHou's Book Reviews

continuously updated blog about China & India

What's wrong with the world; and its economy

continuously updated blog about China & India