Home Mobile devices OPPO, vivo and Xiaomi well ahead of the pack in Q3
OPPO, vivo and Xiaomi well ahead of the pack in Q3 Pixabay

Chinese smartphone brands OPPO, Xiaomi and vivo have achieved their highest quarterly shipments in the third quarter of 2018, despite the overall shipments showing a drop of 3% year-on-year, the technology analyst firm Counterpoint Research claims.

A statement from Counterpoint said shipments in the third quarter reached 386.8 million units, with the top 10 players grabbing 79% of the market. This left more than 600 brands to fight for the remainder.

Counterpoint associate director Tarun Pathak said: “Despite the decline in its home market, Chinese brands OPPO, vivo and Xiaomi reached new highs in smartphone shipments in a quarter.

counterpoint hovx

"Huawei was also able to maintain its 50+ million smartphone shipments and retain its second position in 3Q 2018. This suggests that the companies are reducing their dependence on their home country. The brands will further expand outside China as they push into Asia Pacific countries and Europe.”

Samsung continued to lead smartphone shipments with 19% share, with its highest ever shipments to India, though overall it experienced a fourth consecutive quarter of decreased shipments.

Apple revenues grew 29% even though iPhone shipments remained flat on a year-on-year basis. The average selling price for an iPhone was a record US$793.

counterpoint shipments q3

Pathak said this was the first time the global smartphone market had declined for three consecutive quarters.

"It can be attributed to a weakening demand in developed markets like China, USA and Western Europe which account for almost half of smartphone sales globally. The lack of meaningful innovation and improvement in smartphone build quality is leading to lengthening replacement cycles," he said.

Emerging markets like India showed double-digit growth, but this could not compensate for the decline in developed markets. Analyst Shobhit Srivastava said: "The growth in the emerging markets is led by Chinese smartphone players that are venturing out of China to capture sales.

counterpoint penetration

"The offerings from these OEMs have intensified competition and many features and capabilities common among flagship models are now progressively diffusing through to the lower price bands.

"This is also affecting local smartphone players in the emerging economies, which are struggling to maintain a foothold.”

Analyst firm Canalys recently released figures that showed smartphone shipments were down by 7% in the third quarter, while an IDC report said shipments in the same quarter showed a year-on-year decline of 6%.

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Sam Varghese

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Sam Varghese has been writing for iTWire since 2006, a year after the sitecame into existence. For nearly a decade thereafter, he wrote mostly about free and open source software, based on his own use of this genre of software. Since May 2016, he has been writing across many areas of technology. He has been a journalist for nearly 40 years in India (Indian Express and Deccan Herald), the UAE (Khaleej Times) and Australia (Daily Commercial News (now defunct) and The Age). His personal blog is titled Irregular Expression.

 

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