At present, China has overtaken the United States to become the world’s largest smart phone market, however, can not be ignored is the Sanxing, the the Pingguo two companies market share reached 49.5% at the same time to earn most of the profits. Face of Sanxing, Pingguo’s popular native smartphone how to come from behind in the game on the same stage with the giant achieve beyond?
The industry believes that the The domestic smartphone industry needs unlimited amount of innovation, and this innovation is the full range of innovation, including hardware, software, and marketing.
Market is highly concentrated to Sanxing, Pingguo
The recently released report by market research agencies ID C show that the third quarter of 2012, global smartphone shipments of 179.7 million, which, Sanxing shipments for 5630 million, a market share of 31.3%, the highest in the market first place. Pingguo ranked second, with shipments of 36.9 million, a 15% market share.
In addition to market share, Pingguo, Sanxing profitability of the two companies is to allow other vendors envy. Market research agency C anaccord recently released a report that the third quarter of this year, Pingguo acquired 59% of the profits of the global smartphone industry. At the same time, Nuojiya, Motoluola and other manufacturers have suffered operating losses.
Local firms survive the low-end market
China’s smart phone shipments in 2012 is expected to exceed two hundred million, surpassing the United States as the world’s largest smartphone market, but is not optimistic about the living conditions of the local téléphone portable manufacturers.
On the one hand, international giants such as Pingguo, Sanxing has acquired most of the profits of the smartphone market. With the decline in chip prices, mobile phone prices will further reduce profit margins continued to shrink, leaving domestic manufacturers. On the other hand, the domestic smart phone market competition is increasing, many manufacturers Costly grab the market at low prices, even
China Mobile Alliance Secretary-General Wang Yanhui, told reporters that the local phone monthly shipments of about 20 million units, more than 50% remain in the low-end market.
More comprehensive and innovative addition to the « micro-innovation »
The importance of innovation for smart phones, Pingguo’s success is reflected most vividly. In the first half of this year, Pingguo’s market value topped $ 600 billion, 60 times a decade ago, once the phone overlord Nuojiya has plunged 90% to $ 10 billion in the past five years.
Domestic mobile phone manufacturers are also aware of the tremendous power of innovation. But so far, the most innovative of these vendors also just « micro-innovation. »
The industry believes that the The domestic smartphone industry needs unlimited amount of innovation, and this innovation is the full range of innovation, including hardware, software, and marketing. The core technology such as smart phones, such as chip design and operating system, the basic Western countries mastered the new code for the Google smartphone android system, Sanxing and other first-tier suppliers will usually receive priority, Huawei, ZTE for at least three months late, the third tier players even more late. » Said Wang Yanhui.
According to industry sources, Google, Amazon and other Internet services company is about to invade China’s low-cost smartphone market outside forecast, China’s low-cost smartphone sales continue to grow in the coming years.
According to NPD DisplaySearch, the low-cost smartphone shipments are expected doubling each year, and to grow from 450 million units in 2010 to 311 million in 2016. DisplaySearch said that the low-cost smartphones 60% of the demand in the Asia-Pacific region at the same time most of the smart phone parts supplier and manufacturing plant is located in the Asia-Pacific region, thus saving time and costs.
Sources pointed out that China’s Huawei, ZTE, Lenovo, Coolpad smartphone suppliers to launch low-cost smartphones in the Chinese market, but due to fierce competition, most manufacturers phone business profit decline. And other China-based smartphone vendors such as millet, Baidu, Shanda online retail giant Jingdong Mall and other Internet services company, has been or is about to launch its own low-cost smartphones.
In the global market, Google has introduced the Nexus 4 price range from 299-349 dollars expected Nexus4 will lead to mobile phone manufacturers launch more low-cost Android smartphone. The same time, the outside world predict that Amazon will be launched in 2013, its first smartphone using Google with the price of tactics, which is likely to further reduce the price of smart phones, mobile phone manufacturers, low-cost smartphone will be parallel invasion of Chinese low-cost smartphone market, low-priced products for the local impact.