Chinese telecommunications giant Huawei Technologies surpassed Apple Inc., the leader in mobile technologies, to become the second largest seller of smartphones in the world during the June quarter, according to data from the research firm.
The estimated increase in market share was accompanied by the slowdown in the mobile technologies market in China. Huawei is also able to keep up with its competitors by selling more phones with many superior features, analysts said. Samsung Electronics, the largest Smartphone maker in the world, is a very insignificant player in China, reported its slowest quarterly profit growth with sales of the premium Galaxy S9 not being as expected.
Huawei is aiming high
Huawei is aiming at higher value models and new flagship smartphones with the latest mobile technologies features. Huawei has developed the latest technology models with triple cameras which it will soon launch before the competition.
The company announced on Tuesday that its sales increased by 15% during the first six months of 2018 and Huawei has gained more than 15% of the global mobile technologies market from April to June, more than 12% of Apple and almost 20% of Samsung Electronics. The Chinese market is essential for Huawei, which has been criticized by the United States, Australia and other countries with the argument that it could help the Chinese government to spy. The company was practically excluded from the United States, where none of the major operators sold their smartphones due to flaws in their security systems.
Apple has shown some growth in China where sales increased by 19%. The consumer arm of Huawei, which operates its Smartphone’s business and the mobile technologies, brought in about a third of last year’s total revenue.
Huawei denies charges that it facilitated espionage and said it was a private company and not controlled by the Chinese government. However, analysts are concerned about the stability of the growing Chinese market. China and the United States are parties to a trade war between the two countries, which impose tariffs of several hundred billion dollars and are fighting for mobile technologies and patents. These tariffs have not yet been applied to the latest Smartphones like Apple’s iPhone.