Huawei to narrow gap with Samsung as Apple falls further behind

Huawei to narrow gap with Samsung as Apple falls further behind
This year has been very interesting for smartphone manufacturers across the globe. Some brands have quickly risen up the ranks and others have slipped further down the list. The top 3 has remained completely unchanged, however, and now Strategy Analytics (via Korea Herald) is predicting the final outcome. 

Samsung will ship over 320 million smartphones this year


Leading the way for yet another consecutive quarter will reportedly be Samsung. The South Korean giant has undoubtedly benefited from Huawei’s troubles this year but most of its recent success comes down to its own efforts. 

Samsung has pumped millions into a revamped low-end and mid-range lineup that has proven extremely popular across Europe. So much so that its market share reached a five-year high earlier this year and it was crowned the fastest growing brand in the region.

Galaxy A and Galaxy M smartphones have also proven extremely popular across Asia. India, in particular, has loved the phones so much that Samsung continues to be the second-most popular brand in the region despite growing competition.

Samsung’s decision to release an expanded range of flagships this year has also positively impacted the results because it has helped maintain sales in an increasingly saturated market. Additionally, the decision to release 5G smartphones early on has given the company an early lead in the segment – it currently accounts for 74% of all 5G devices. 
 
As for how all of this translates into sales, Strategy Analytics believes Samsung will end the year with shipments of 323 million smartphones and a global market share of 21.3%. These figures are up from 291 million and 20.3% a year ago, respectively. 

Huawei might miss its 2019 sales targets


In second place looks set to be Huawei with estimated shipments of 251 million units and a market share of 17.7%. The company itself is forecasting sales of 270 million devices so it might fail to reach expectations. Nevertheless, strong annual growth is expected.

Huawei finished 2018 with shipments of 206 million units and a market share of 14.4%. The forecasted 2019 results mean the company has successfully narrowed the gap between itself and Samsung from 85 million devices to just 72 million and from 5.9% to 3.6%.

Regarding what led to the strong performance, Strategy Analytics highlighted Huawei’s performance in its home market of China where it’s well on its way to achieving a 50% market share in the region. This has offset the company’s declining sales in Europe since the US trade ban was implemented. Huawei has been largely dependent on its existing lineup of devices and rebrands of older models to maintain sales, but consumers are gradually disassociating themselves.

How well it performs in 2020 will largely be dependent on whether the trade ban is lifted or not. Because, if it isn’t, Huawei will have an increasingly tough time selling smartphones to consumers due to the lack of Google Play access.

Apple's poor iPhone performance drags it down


Following in a distant third place is expected to be Apple with total shipments of 193 million units and a market share of 13.6%. For reference, a year earlier the company shipped in the region of 208 million units and held a market share of 14.7%. 

Apple has struggled significantly this year in light of weaker iPhone XS and iPhone XR sales than expected. The newer iPhone 11 and iPhone 11 Pro devices are reportedly performing more strongly but it hasn’t been enough to make up for the poor performance during the first six months. 

The company is largely expected to rebound in 2020 thanks to the cheaper iPhone SE 2, which may also be marketed as the iPhone 9, and the extended iPhone 12 series.

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42 Comments

1. meanestgenius

Posts: 22807; Member since: May 28, 2014

I can definitely see Huawei narrowing the gap. They put out very compelling products. The bulk of the sales will be carried by China, though. But in Huawei's case, that still means large sales.

2. pooma unregistered

so phonearena, all of yours predictions that Huawei would fall apart were BS. Huawei will survive and become the number one by market share

3. joshuaswingle

Posts: 746; Member since: Apr 03, 2018

We didn’t make any predictions. Market analysts did. We simply covered them.

6. Poptart2828

Posts: 499; Member since: Jan 23, 2018

I disagree. Felt personal to you guys with every article I read. Most of your readers have the same opinion. Just saying.

9. AngelicusMaximus

Posts: 777; Member since: Dec 20, 2017

#delusional

11. Venom

Posts: 3975; Member since: Dec 14, 2017

I don't have that opinion. I don't think I recall them being on a warpath against Huawei even though Huawei deserves it.

14. meanestgenius

Posts: 22807; Member since: May 28, 2014

And what makes Huawei deserve anyone “being on a warpath” against them as opposed to any other smartphone OEM? Or is this just your personal dislike for Huawei showing through again?

22. Venom

Posts: 3975; Member since: Dec 14, 2017

What's it to you? It's called expressing my opinion. I'm not the only one who is speaking negatively about Huawei so why target my comment? It's not anything personal like you said. It's just a matter of fact that Huawei is a shady Chinese company that has heavy ties to the Chinese regime.

27. meanestgenius

Posts: 22807; Member since: May 28, 2014

What is it with you always complaining when someone responds to your comment logically in open forums? Your comments on Huawei articles are always against the company, so it’s logical to ask what I asked. It seems extremely personal when you make the same type of comment against Huawei on most articles about Huawei, especially since you don’t make these comments about companies like Google, Microsoft, and Apple that have been stated to have backdoors in their products on behalf of the U.S. government.

33. Venom

Posts: 3975; Member since: Dec 14, 2017

I don't care about someone responding to my comments. That isn't the problem. It's when my comments are deliberately targeted despite the fact that they aren't the only ones that are criticizing Huawei. Show me where I said that they were innocent. Google and Apple have both been called out multiple times, so I don't know what rock you've been sleeping under. I like how you don't deny that Huawei is shady and just seek to deflect by pointing out other companies.

39. meanestgenius

Posts: 22807; Member since: May 28, 2014

Clearly you do care about someone responding to your comment, or you would not be complaining about it. I could understand if I insulted you, but that isn’t the case. It’s also a bit hypocritical of you to complain about it when you do the same to myself and others. Show me where you’ve constantly attacked them on practically every article about them like you do Huawei. ZTE is being accused of the same thing Huawei is being accused of, but you haven’t mentioned a single negative word about them. Thanks for admitting that you do speak negatively about Huawei btw, like I’ve said all along. Google and Apple have been called out multiple times, but NOT by YOU, so stop changing the facts to suit your false narrative. I like how you don’t deny that Google and other American companies are shady, but instead choose to avoid the topic on them being shady entirely and just attack Huawei.

7. aegislash

Posts: 1537; Member since: Jan 27, 2015

Lol. You are the Apple Fanatic Overlord though Josh...at least according to a few brainless individuals on here.

4. Tizo101

Posts: 644; Member since: Jun 05, 2015

So who's number 4 and 5? And far away are they from Apple? To me that seems like important info

5. Poptart2828

Posts: 499; Member since: Jan 23, 2018

Xiaomi oppo and vivo round out the top 6.

8. RoarLions

Posts: 8; Member since: Sep 04, 2014

Releasing the A series in the US didn't hurt either. That's a fantastic phone for the money. I'll pass on Huawei and State sponsored technology. Watch the "interrogation" of the Chinese guy who was using his phone and was taking bad about the police...

12. Venom

Posts: 3975; Member since: Dec 14, 2017

I assume you are referring to the A50? It's much better than anything Huawei can produce and you don't have to worry about it sending anything to China on the backend.

15. meanestgenius

Posts: 22807; Member since: May 28, 2014

So you’re saying that the the midrange A50 is better than Huawei flagships? That is factually incorrect on many levels, and I’m not referring to ones “opinions”, either. I’m talking actual facts like performance, power, feature set, cameras, battery life.....

23. Venom

Posts: 3975; Member since: Dec 14, 2017

Yes, that's exactly what I am saying. The Nexus phones oftentimes didn't have the latest and greatest hardware yet they were considered some of the best phones ever. You're trying to hide behind a crutch to constantly try and make your opinionated comments as facts.

28. meanestgenius

Posts: 22807; Member since: May 28, 2014

Samsung’s A line is in no way better than Huawei flagships, or even better than most phones from Huawei’s subsidiary Honor. They have better cameras and are more powerful. I’ve never seen anyone besides you claim that any Nexus smartphone was considered the “best phone ever”. I do often see people saying that the Nexus line was far better than Googles Pixel line, though. You’re using your innate dislike for Huawei to erroneously say another OEM’s midrange smartphones are factually better than their flagships, and that’s not the case.

34. Venom

Posts: 3975; Member since: Dec 14, 2017

Lol why are you getting so offended by it? If I want to say that the A50 is better than anything Huawei can produce then that is my opinion. You are using your innate bias for Huawei to erroneously say that they are better than anything out there regardless what others think.

40. meanestgenius

Posts: 22807; Member since: May 28, 2014

Lmao who’s offended except you, since I pointed out the facts and they don’t align with your statement. You can say whatever you want, but that does not make it a fact. Opinions are not facts. I deal in facts. And it’s a fact that in the most important metrics (performance, power, camera prowess), that Huawei flagships are better than Samsung’s A series. These are things that’s not up for debate. I like how you didn’t deny that you are using your innate dislike for Huawei to erroneously say the midrange A series from Samsung are better than Huawei flagships.

10. jiangqiushi

Posts: 44; Member since: May 28, 2019

Imagine if there wasn't the ban...

16. meanestgenius

Posts: 22807; Member since: May 28, 2014

If there was no ban, Huawei would be a lot closer to Samsung in terms of smartphone shipments right now.

13. Venom

Posts: 3975; Member since: Dec 14, 2017

Exactly what gap is Huawei narrowing? I don't think it says much if 90% of Huawei sales come from China which has a very large population last time I checked. Huawei has an unfair advantage in China due to the Chinese regime and bias against any other company that isn't Chinese.

17. meanestgenius

Posts: 22807; Member since: May 28, 2014

1. China doesn’t push Huawei over any other Chinese smartphone OEM. If they do, post proof saying so. 2. Sales are sales. It says a great deal that since the ban has been in place, Huawei has still been able to grow smartphone sales, even if the bulk came out of China. That just goes to show you that if there was no ban, sales would be even greater. 3. The gap Huawei is narrowing is clearly the sales gap. Whether you like it or not, Huawei sells more smartphones than other OEM not named Samsung. This is an indisputable fact.

24. Venom

Posts: 3975; Member since: Dec 14, 2017

1. So why does China ban a lot of goods and services in favor of their own OEMs goods and services? 2. The sales were no different before the ban. Again this ties into what I said about the Chinese favoring their OEMs over others. 3. You're repeating yourself. Huawei sells more because of circumstances, not because they have a compelling product which they don't btw.

29. meanestgenius

Posts: 22807; Member since: May 28, 2014

1. China banning whatever they ban is not China pushing Huawei. America bans goods and services from other countries, most notably Huawei, so using your logic, they are giving an unfair advantage to American smartphone OEM’s like Google and Apple. 2. They’ve added to their sales, so they are different than before the ban. And again, using your logic, that means that America favors their OEM’s over others, most notably Apple. How come you don’t mention that anywhere? 3. You repeat yourself on Huawei article to Huawei article. Huawei sells more because they put out a more compelling and competitive product than most, which they are, btw. They have been higher sales than most other OEM’s in Europe, for example, before the ban, so it’s clearly evident that you saying that they are selling more than most just because of China is a fallacy.

37. Venom

Posts: 3975; Member since: Dec 14, 2017

1. How's that not the case? China prefers giving preference to their own companies over companies that can do it better than them. The US banning Huawei is no different than China banning everything else. 2. Wasn't aware Samsung, LG, etc. were American companies. My mind has been blown by that revelation. 3. A more compelling and competitive product is subjective. That's not a fact. They are selling more because of their larger user base in China. That is a fact.

41. meanestgenius

Posts: 22807; Member since: May 28, 2014

1. How is not the case, by your logic, that the U.S. is doing the same you claim China is doing for Huawei? And how is China banning certain services giving Huawei a leg up on the competition, when their smartphones are still allowed to be sold in China? No one being allowed to use Google services in China actually makes it a level playing field, as all Android OEM’s have to use Android with no GMS in China. 2. Who mentioned Samsung and LG? I mentioned AMERICAN companies, and last time I checked, that means Google, Apple, Microsoft, and any other American smartphone OEM. My mind isn’t blown by the revelation that you didn’t realize this. 3. A more compelling and competitive product is a fact backed up by global sales numbers. When you sales down by regions in Europe, for example, you’ll see that Huawei is selling better than most in Eastern and Central Europe. That is a fact.

18. alanrock

Posts: 341; Member since: Oct 04, 2018

Huawei should be banned in China too, just to be fair towards Samsung/Google/Apple fans ?

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