China’s Smartphone Demand to Hit More Than 450M in 2014, Will Apple (AAPL) Regain Bruised Market Share?
Smartphone shipments in the world's biggest market China has been forecast to hit more than 450 million units in 2014, according to research firm IDC. The jack up will be triggered by the government's issuance of 4G licences as well as the foreseen Apple (AAPL) - China Mobile alliance. Will Tim Cook's company finally regain its bruised share in the China market pie?
In the recent quarter, Apple's (AAPL) market share in China dropped to 5 per cent from 9 per cent previously. But analysts expect the company to rebound and grow its market share from t2013 to 2014 based on the launch of the new iPhone 5C, never mind if Chinese consumers still find it expensive for their taste.
"Apple is making a comeback," Jim Cramer said in his Real Money column. "This represents the retail interests."
"Affected by the sluggish sales of iPhone 5, Apple's market share has declined dramatically, but its performance is expected to remarkably improve with the launch of the new iPhone," James Yan, an IDC analyst, said in a statement.
Apple's (AAPL) market share in China will be greatly helped with its recent approval to offer iPhone 5c with China Mobile. The latter has 700 million subscribers all over China.
According to IDC, total smartphone shipments in China by end of 2013 will hit 360 million, and then rise to 450 million in 2014.
IDC, however, maintained that smartphones powered by the Android operating system will continue to seize the bulk of the Chinese market.