Huawei now expects to sell 230 million phones by the end of 2019

Huawei now expects to sell 230 million phones by the end of 2019
Huawei announced earlier this year that it intended to sell a whopping 270 million smartphones by the end of 2019. And, while things did seem to be on track, it appears the company has severely underperformed during the fourth quarter.

According to a new report by Sina Technology News (via GSMArena), Huawei CEO Richard Yu announced during an internal meeting that the company is now estimating shipments of 230 million smartphones for the year. 

The news means Huawei is on track to sell 50 million fewer devices than initially expected. It also suggests, perhaps more worryingly, that consumers are quickly losing interest in the brand despite the ongoing holiday season.

Huawei reached the 200 million shipments milestone in late October and, at the time, was selling an average of 5 million smartphones per week. It hoped this would increase to 7 million devices thanks to the usual season sales boost, but instead it seems as though shipments have declined to around 3 million per week.

The driving force behind these disappointing results is undoubtedly the US Government’s trade ban which is currently blocking the company from releasing new devices with Google’s services. Nevertheless, Huawei is hopeful it’ll be lifted in the near future, allowing things to return to normality.

To end things on a more positive note, it’s worth pointing out that these newest forecasts would still represent a decent level of year-on-year growth. Huawei reported sales of 206 million units during 2018 and just 153 million units in 2017, meaning this year will be the company’s best year on record.

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17 Comments

1. meanestgenius

Posts: 22773; Member since: May 28, 2014

I don’t see it as consumers losing interest in the brand so much as there is a negative impact on sales of their smartphones in certain countries due to the lack of Google Services. Still, shipments of 230 million smartphones is absolutely nothing to laugh at, and I’d say it’s indicative that the lack of Google Services due to the sales ban and the BS political propaganda being spread by the U.S. isn’t as impactful as people thought it would be. People were predicting doom and gloom for Huawei, and that is far from the case, as they’ve still grown sales YoY despite the ban and lack of GMS. Kudos to Huawei for that.

10. joshuaswingle

Posts: 744; Member since: Apr 03, 2018

I’d guess the reason the US trade ban hasn’t been as impactful as first predicted is because Huawei still has a relatively new lineup of phones. But some models are starting to age, hence why consumers aren’t buying as many. The true impact will be felt next year unless it’s suddenly lifted.

18. meanestgenius

Posts: 22773; Member since: May 28, 2014

Even then, with how many smartphones Huawei sells in China, I just don’t see the ban being as impactful as some have predicted. People are predicting doom and gloom for Huawei, and I just don’t see that happening. I do think that the ban will have more of an impact in Europe, Australia, and some other places in the west, but I don’t see the ban being as impactful in the East (UAE, etc). Time will tell. In any event, I don’t see Huawei losing the #2 spot in the smartphone space because of it. I could be wrong, though.

2. foldablephone

Posts: 75; Member since: Sep 19, 2018

Next year is going to be even more challenging for Huawei. Samsung’s a51/note10lite launched January, followed by S11 in Feb which is a huge upgrade in almost every area while also showcasing Samsung’s new uniform design. Apple will launch the budget iPhone 9 in the Spring, while Oppo are planning on a US launch while growing share in Europe. Huawei’s P40 needs to have sorted out Google Play or they will find European customers turning away. Their no.1 aim needs to be to resolve the US sanctions ASAP. Hope they can sort this out.

11. joshuaswingle

Posts: 744; Member since: Apr 03, 2018

I agree, the first half of next year is crucial for Huawei. But it’s also the perfect opportunity for Oppo and others to grow their presence in Europe.

3. markkirivera

Posts: 2; Member since: Dec 20, 2019

I just got a Huawei Mate 20 Pro last Wednesday for around $368 online and I'm just happy with it. This device is a masterpiece. I just pray Huawei will get through this politics stuff just well.

4. CreeDiddy

Posts: 2284; Member since: Nov 04, 2011

An ASP of $250 isn’t considered winning. Giving phones away near cost. What this says is that they have to sell three times as much as Apple just to create same profit margin.

5. meanestgenius

Posts: 22773; Member since: May 28, 2014

What does this have to do with Apple? You Apple fans always complain when Android fans bring Apple into the mix when they aren’t mentioned, but here you are, an Apple fan, bringing Apple in where they aren’t mentioned. And you wonder why you all have the rep that you have around the internet? By the way, Huawei’s bread and butter isn’t smartphones, it’s what they are doing in the networking infrastructure field, of which they are the dominant player.

15. Venom

Posts: 3966; Member since: Dec 14, 2017

Hmm not sure if serious, but you have brought up Apple and Google multiple times in discussions that didn't involve them.

16. meanestgenius

Posts: 22773; Member since: May 28, 2014

Bringing up other OEM’s for comparisons sake relative to what the op is about is what I do. I don’t complain when someone brings up another OEM in an unrelated article, I just point out the hypocrisy of complaining when others do it, much like I did now, and much like I do with you.

7. midan

Posts: 3213; Member since: Oct 09, 2017

Like these numbers show, end of the year been quite slow for Huawei. I think next year going to be more or less the same if they can't get the Google service support. Here in EU people are scared to buy Huawei without Google and after two years struggle Samsung phones are back in the top selling lists, which had many Huawei phones before.

8. meanestgenius

Posts: 22773; Member since: May 28, 2014

Sales in Eastern and Central Europe have not fallen for Huawei, so not everyone is afraid to buy their smartphones without Google Services on them.

9. midan

Posts: 3213; Member since: Oct 09, 2017

This shows the situation in whole Europehttps://gs.statcounter.com/vendor-market-share/mobile/europe/#monthly-201708-201912 Steady growth and after the Google news came, there hasn't been growth anymore, very flat, without that huawei growth would have continued up sharply for sure.

17. meanestgenius

Posts: 22773; Member since: May 28, 2014

midan, Now break that down into the various regions in Europe, and you’ll see what I said is absolutely correct. The gain/loss from the various regions in Europe cancel each other out.

12. joshuaswingle

Posts: 744; Member since: Apr 03, 2018

The phones Huawei is selling still have Google services. Only exception is Mate 30 Pro which is sold in very limited quantities in Spain. The reason sales are only now starting to decline is likely the age of those devices.

19. meanestgenius

Posts: 22773; Member since: May 28, 2014

Yes, I’m aware. The Mate 20 and P30 series have been selling well abroad for Huawei. The Mate 30 Pro has also been on sale since mid to late November in Singapore, Australia, and Indonesia. If Huawei can entice consumers with extras in the areas of Europe that they still move units in a positive direction, then they can at least remain flat, in the near term, IMO. That’s what they are doing in France, for example. Long term is a different story.

20. ebfields

Posts: 32; Member since: Apr 13, 2013

All Huawei had to do was lower the prices on their flagships and sales would have gone through the roof. I know that I myself would have happily grabbed a Mate 30 Pro. They must find a way to push their sales and a hugely competitive price point would have certainly caused people to be willing to buy and then install the necessary required apps for themselves. I’m still rooting for Huawei.

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