2024-04-16 12:55:56
REUTERS/Aly Song
Invite you to explore the importance of the market in “China” for the giant “Apple” when iPhone sales in Q1/2024 worldwide dropped 9.6% after being affected by sales in China that were heavily stagnant.
On April 16, 2024, Bloomberg News Agency (Bloomberg) reported based on information from International Data Corporation (IDC), a marketing consulting service provider in the technology industry, stated that smartphone shipments in the first quarter of 2024 of “Apple” (Apple) were at 50.1 million units, decreasing from the same period. of the previous year 9.6%, which is in contrast to the overall global smartphone shipments of over 289.4 million units, an increase of 7.8% from the same period of the previous year.
The report states that Apple’s smartphone shipments during the period It is at a lower level than in 2022, when there was still a COVID-19 outbreak. and supply chain problems It is also a lower figure than analysts’ estimates of 51.7 million units, the main factor being that sales in “China” decreased.
Earlier, a report from Counterpoint Research, a technology market research firm, said that smartphone sales in China fell 7% in the first six weeks of the year, with Apple’s unit sales falling 24% from the same period last year. % and has only 16% market share remaining from 19% last year.
And from Apple’s first quarter fiscal year 2024 (ending on December 30, 2023) earnings report, net sales from Greater China were USD 20,819 million. It is second only to the United States at 50,430 million US dollars and Europe at 30,397 million US dollars. This reflects that China is a potential market for Apple, accounting for 17% of total revenue of US$119,575 million.
The factor causing iPhone sales in China to slow down comes from intensifying competition with local brands. Especially the launch of the “Mate 60” series, the flagship smartphone of “Huawei” (Huawei) that comes to compete for share in the premium group. Geopolitical tensions between China and the United States and the trend of banning government officials in China from using iPhones
“Increasing competition in China,” said Nabila Bhopal, director of research at IDC. This caused Apple’s sales in the first quarter to decline, with Chinese brands trying to use aggressive strategies to boost sales, such as Xiaomi lowering prices to release inventory and Huawei launching the Mate series of smartphones. 60 features a 7nm architecture chip made in China. and the HarmonyOS operating system, etc.
However, Apple is trying to regain confidence in the Chinese market in several directions. Since the promotion Special discount on the official online store website in China. To stimulate sales and purchasing power of consumers And some of Apple’s retail partners are offering discounts of up to $180 off the regular price, which is rare.
Apple also opened a new Apple Store in China. Using the name “Apple Jing’an”, it is the 8th official store in Shanghai, or the city with the most Apple Store branches in China, on March 21, 2024, by “Tim Cook”, Chief Executive Officer. of Apple came to open this branch in person. And it was his third visit to China in 12 months.
Apple also announced that it would be expanding its laboratories in Shanghai. and opened a new laboratory in Shenzhen. Its focus on research and testing of key products such as the iPhone and Vision Pro glasses reflects that China is not only an important market after the United States. But it is also an important supply chain for Apple.
Photos from the opening of the new Apple Store in Shanghai – Apple Newsroom
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