Can Huawei retain its position?

Raihana Rahman Shorna

In the second quarter of 2020, China’s Huawei Technologies has toppled Apple and Samsung and became the world’s largest smartphone companies in 9 years for the first time. 

Since April, it has become quite a surprise for all the markets where Huawei defeated both Samsung and Apple. Based on the sales, it has dispatched about 55.8 million devices, which already has exceeded the monthly sales of Samsung from April and June.

According to the Senior Analyst Ben Stanton, “As Samsung features only a small portion of the market in China, Huawei rules the business by taking advantage of the Chinese economic recovery during this pandemic which has given it an edge.” Also, the analysts of Canalys said, “Although the shipment was down about 5%, the sales of Samsung dropped 30%.”

On this note, the U.S government is making things more complicated for Huawei by forcing them to prevent Google from providing services. Recently on August 18, U.S sanctions to slam Huawei as they suspect that it spies for China. As a result, the U.S is now forcing Huawei to stop making its flagship Kirin chipsets from September which, are the key components in mobile phones.

Nevertheless, Apple enabled its 5G from iPhone 12 yet to be launch this year which, might create some hassles towards Huawei’s supremacy, accounting for over 60% of the total shipments.

Based on Huawei’s progress, it is now ruling all over the world, but it is highly unlikely to ensure that if it can stay stable, especially on the U.S market after all the hazards made by the U.S Government. In that case, Huawei might have to develop more strategies to identify certain traits in consumer behavior that they can capitalize on.

Reference

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