Xiaomi displaces Samsung as #1 smartphone in China in 2014

Xiaomi has displaced Samsung as the #1 smartphone maker in China in 2014, said IDC on Tuesday.

According to IDC, Xiaomi has a smartphone market share of 12.5 percent in China in 2014 against 5.3 percent in 2013. On the other hand, Samsung’s smartphones share dropped to 12.1 percent in 2014 from 18.7 percent in 2013.

The smartphone market share of Lenovo fell to 11.2 percent last year from 11.9 percent in 2013.

Huawei increased smartphone share to 9.8 percent from 9.3 percent.

Xiaomi
Q4 2014

In Q4 2014, Apple has become the second largest smartphone vendor with 12.3 percent against 7.4 percent in Q4 2013.

Huawei is the third largest smartphone vendor with 11 percent share in Q4 2014.

IDC said smartphone shipments in China rose 2 percent q-o-q and 19 percent y-o-y to 107.5 million units in Q4 2014. Smartphone market increased 20 percent to 420.7 million in 2014. Apple’s launch of larger screen sized phones also helped to contribute to the increase in shipments.

IDC smartphone market share for Samsung in 2014 in China“Though the 3G phone shipments in China were affected by the reduction in operators’ subsidy, the market was able to grow in Q4 2014 due to its growth in 4G phones.”

Smartphone market in China will increase 10 percent in 2015.

With the reduction in telecom operator subsidy, operator-centric vendors in the past such as ZTE, Huawei and Coolpad have increased their shipments online through direct sales as well as through eTailers. They have also established online brands for this purpose.

IDC attributes Xiaomi’s focus on selling low-cost phones with decent specifications, as well as the hype that it created through its flash sales, helped it to obtain the top position in both Q4 2014 and 2014.

Apple jumped to the second position in Q4 2014 thanks to its iPhone 6 and 6 Plus models.

Huawei was ranked third in terms of smartphone shipments  as it had a range of models in the low-end and mid-range segment that did well in Q4 2014.

Lenovo finished off as the fourth in 2014Q4 with its strong focus on <US$150 phones while Samsung dropped to the fifth position in 2014Q4 as it faced immense competition from Xiaomi and the other Chinese vendors in the low to mid-end segment of the market.

Anand B
editor@gizmolead.com

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