Apple iPhone 6 launch and likely impact on Samsung, Huawei and LG

Will Korean device vendors Samsung and LG face more troubles after the much hyped launch of Apple iPhone 6 smartphones in September?

A research report by TrendForce says the new iPhone launch will influence Samsung market share from 33 percent in early 2014 to 28 percent in the third quarter. Samsung will not reach its goal of 350 million in handset shipments during 2014.

This indicates that the release of its new Galaxy Note 4 will not assist Samsung.

Smartphone shipments in Q3 2014

The report said LG Electronics will release its G3 Stylus in September, which is expected to help push its market share up to 6.2 percent in the third quarter.

HTC will see major declines, with shipments reaching less than 20 million in 2014 — even less than half of China-based Xiaomi.

Chinese vendors including Xiaomi, Huawei, Lenovo, Coolpad and ZTE are expected to see over 30 million in shipments in 2014.

Lenovo in conjunction with its merged company Motorola will ship 90 million to become China’s largest vendor while Huawei will see shipments over 65 million to hold the number 2 spot.

Xiaomi and Coolpad will see nearly 60 million smartphones shipped.

TrendForce said smartphone shipments will grow 13 percent on quarter-to-quarter basis to 322 million in the third quarter of 2014. On year-on-year basis, the growth will be flat.

Overall shipments will increase 29.2 percent on yearly basis to 1.2 billion in 2014. Growth will be driven primarily by the release of the new iPhone and new units launched from Chinese vendors.

Chinese smartphone shipments

TrendForce smartphone analyst Avril Wu said there will be increased demand for the new iPhone in the Chinese market but shipments will largely depend on whether key supply chain makers maintain stable yields in production and assembly while avoiding bottlenecks.

TrendForce predicts total shipments of 75 million or less for the new 4.7″ and 5.5″ iPhone, with only 20 percent occupied by 5.5″ due to its higher difficulty of production.


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