Coolpad, Lenovo, and Xiaomi beat Apple


Trio thrash Apple in Chinese market

Smartphone OEMs that only sell into the Chinese market, Coolpad, Lenovo, and Xiaomi have all beaten Apple in China's second quarter 2013 smartphone battle.

While Samsung retained its leading smartphone market share of 17%, Lenovo took second with 13%, Coolpad was third with 10%, and Xiaomi edged out Apple with 6.5% share, according to new research from market intelligence firm ABI Research.

'Even though these OEMs are only selling into the Chinese market, the size of the market has allowed them to achieve shipment volumes that place these OEMs in the top 12 globally,' said senior analyst Michael Morgan. 'It is not hard to imagine these OEMs as global competitors within the next two years.'

Because China is the largest smartphone market, accounting for 28% of all smartphone shipments in the second quarter, success in China carries an increasingly global significance. These three rising stars accounted for 11.1% of all worldwide shipments in the quarter.

The sheer size of the Chinese market has made it one of the most coveted for tier one OEMs looking to expand share and secure a future as smartphone market growth becomes increasingly dependent on emerging and low cost markets.

As Apple continues to struggle with delivering low cost products, Chinese OEMs continue to press their advantage of competitive hardware at lower price points.

'China has proven to be an excellent environment for local OEMs to test and prove their business models. In time it will be interesting to see if their unique home-field advantages can be leveraged beyond the Chinese market,' added senior practice director Jeff Orr.


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