Apple and Xiaomi Get Greater Market Share; Huawei User Base Decreases
In 2019 the USA banned Huawei products, and since then the Chinese tech giant has had a hard time remaining in business. Despite the restrictions that are still in place, Huawei keeps releasing new phone models every year, selling these devices to a customer base that is continuously shrinking.
Expansion into New Markets: Competitors Are Taking Advantage of Huawei Losses
As the company is losing millions of users all over the globe, the market has opened up new opportunities for other firms.
Major competitors, like Apple and Xiaomi are the two companies that benefited most from the troubles experienced by Huawei. They naturally picked up the share of the market lost by Huawei and are diversifying their efforts to satisfy the existing demand.
Xiaomi Takes Over Huawei's User Base
Huawei is really struggling in the face of the ban imposed by the USA. The firm has not given up its place in the smartphone industry, but it’s in a tight spot. The unpredictable international politics are a major challenge. Meanwhile, Xiaomi is taking over the 80-million customer base of its troubled competitor.
Meanwhile, Honor and Apple gained 10 and 20 million new users, respectively. Thus, the news of Xiaomi's huge user base increase is an impressive statement and reflects the company’s efforts to seize this opportunity. It has been offering attractive phone models with great hardware options at competitive prices that are attractive to more customers. Xiaomi is clearly a company that has many surprises up its sleeve, as it keeps gaining a greater market share.
The blame for the sharp industry decline in 2022 lies largely with the mix of currency depreciation, shortage of chips, and ever-growing competition. Without exception, each and every large-scale phone manufacturer has experienced the problems of this downturn, and only Samsung and Apple have managed to keep growing in their segment.
The industry giant Xiaomi that experienced the same challenges as its competitors, and its press secretary Lu explained the causes of the downtrend. 2023 is unlikely to be a very cheerful year for the smartphone industry, as global shipments are expected to drop 12%. Shipments are set to drop in China and the region by 13%.