Will Apple regain its share of the Chinese market with the...

Apple bets on the 5G network with its new iPhone 12. However, in a market like the Chinese this technology is no longer a novelty. The iPhone has serious competitors in that country, and now the US company will have to fight to maintain at least a part of the ‘premium’ market in the Asian country, analysts say.

If in 2017 in the segment of high-end smartphones, Apple represented 86% of the market, and the Chinese manufacturer Huawei – only 5%, in 2020 Huawei represents about 50% and Apple – 42%. In the first half of the year, Apple’s sales revenue in China fell 3.1% to $ 18.8 billion. With the launch of new phones that support 5G, Apple hopes to regain its position in its most important market, according to the WSJ newspaper.

Meanwhile, in China, some 500,000 5G network stations have already been built. The number of users of fifth generation networks has exceeded 110 million people.

With the arrival of the 5G era, Apple lags behind other manufacturers: Huawei, ZTE, Xiaomi and other communications companies had already launched 5G smartphones long before, says Mei Xinyu, an expert at the Chinese Ministry of Commerce, consulted by Sputnik.

“Personally, I’m not very optimistic about the prospects for Apple’s sales in China. Your market share will be lower than before. Before, Apple won the hearts of users with its cutting-edge technology and innovations, “he said.

According to the analyst, “the new features of Apple’s flagship smartphone are a year or two behind its competitors. If they continue with this business model, it will be extremely difficult for Apple to maintain its image as an advanced technology company.”

Huawei’s positions in the Asian giant market were strengthened as a result of the technological confrontation between China and the US. Washington imposed sanctions on the Chinese company and, in fact, cut Huawei’s cooperation with its US partners. The Chinese tech giant was left without the Android operating system, but developed its own Harmony system. In this context, Chinese consumers have become more loyal to Huawei’s products to support the domestic manufacturer.

At the same time, in China there is still a large number of Apple fans. First of all, the iPhone is also made in China, and thousands of Chinese workers are involved in this process. Therefore, a boycott of the US manufacturer’s products is not the best idea because it will also affect the Chinese themselves.

Second, many users like the Apple ecosystem. Thus, a certain segment of the market for Apple’s products in China will remain, says Liu Xingliang, a Chinese technology expert.

“Ordinary people, I think, shouldn’t cultivate a feeling of hatred towards any product just because it’s American. Ordinary people’s choice should be determined by the properties of the product, and not by politics. And if we really want to boycott American goods , then we will not be able to exist “, recognized the Chinese analyst.

According to their estimates, Apple will maintain a 15-20% stake in China.