In the past century, we had the space race, now it’s the tech race – and smartphones are on the front line.
It’s no longer just a business, but rather part of a political strategy. Apple is now seeing its dominance in China’s high-end smartphone market being challenged by local rivals, including Huawei Technologies. This is because China has limited production of Apple phones in the country in retaliation for the United States clamping down on Chinese brands.
New data from industry consultancy IDC also shows changes in import trends. While smartphone shipments in China rose 6.5% to 69.3 million devices in the first quarter, Apple shipped 10.8 million iPhones, down from 14.7 million in the fourth quarter last year. The shift in sales has seen Samsung now take the number one spot as the biggest producer of smartphones globally. The IDC data is in line with findings by another research firm, Counterpoint, which also showed Apple’s market share shrinking.
Android phone makers have also produced another weapon for their arsenal. Foldable phones are being used to attract buyers – a novelty that has seen many try something new. The same style phone was big when Nokia first dominated the market many years ago – and has made a comeback. Handsets with artificial intelligence (AI) features are also poised to boost smartphone sales in China with shipments this year rising 3.1% and expected to reach 279-million.
Experts say that unlike some of its rivals, Apple has yet to integrate its smartphones with generative AI features, popularised by OpenAI’s ChatGPT. But the California-based company is expected to unveil its AI strategy during its annual developers’ conference in June.The war for consumers hard-earned money continues and manufacturers can be assured that many will be watching their phones carefully – waiting for the next best features.
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