Apple Inc. (NASDAQ:AAPL) iPhone has bagged the fifth place amongst the smartphone sellers in China. China is the hottest and biggest smartphone market after the United States brimming with the growing demands of iPhone and intense competition between the companies there.
Apple Inc. (NASDAQ:AAPL) iPhone sales acquired 8 percent of market share in China in the first quarter of 2013. The stats have been provided by the Canalys (via Computerworld). Last year, in third and fourth quarter the iPhone ranking dropped to number 6 in China, but the company managed to step up to number 5 through aggressive price tactics.
Talk of inflation has been swirling for some time amid all the stimulus that's been pouring into the market and the soaring debt levels in the U.S. The Federal Reserve has said that any inflation that does occur will be temporary, but one hedge fund macro trader says there are plenty of reasons not to Read More
Apple’s Rivals in China
Apple Inc. (NASDAQ:AAPL), however, is still behind the arch rival Samsung by a large distance in China. The Korean company cemented its top position, and captured 20 percent of the market share from 17.7 percent earlier.
Samsung rules the roost when it comes to offering a wide variety of smartphones for various prices from high to low. This is the reason of China being one of the most suited markets for Samsung.
The phone makers, which outperformed Apple, were Yulong Computer, Huawei, and Lenovo. The top 10 slots were largely dominated by the domestic companies with Apple Inc. (NASDAQ:AAPL) and rival Samsung being the only two to find a place in the list. The domestic phone makers acquired approximately 68 percent of Chinese Smartphone sales.
China’s Smartphone market
China has become the world’s largest market for the mobile devices with sales of 82 million smartphones in the quarter. When compared only on the basis on numbers China dominates the United States more than three times. The United States witnessed total sales of 27 million smartphones in the quarter. However, when compared in terms of purchasing power, Chinese consumers are weaker as the demand of usually low priced smartphones is more compared to the United States.
The smartphone market of China expanded 156 percent year over year quarterly comparison. Over the past five quarters, there has been a surge of more than 100 percent year over year.
Apple Inc. (NASDAQ:AAPL) has been making improvements and has seen increased earnings in the first quarter of 2013. The iPhone maker has gone through various cultural hindrances in the past. There are doubt amongst the analysts and investors about if Apple Inc. (NASDAQ:AAPL) can be successful in China not having in its portfolio a low priced version of smartphone.