Tag Archives: Samsung

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Samsung Market Share Continues To Decline, Xiaomi Soars

Samsung continues to see their smartphone market share decline. The Galaxy S5 has sold well below expectations and the South Korean giant has also struggled in China where Xiaomi took the number 1 spot from Samsung earlier this year.

The latest numbers from research firm Gartner reveal that Samsung continues to struggle while the growth continues for Xiaomi.

In the third quarter of 2014 overall smartphone sales increased by 20% thanks to demand in emerging markets.

Smartphones which account for 66% of total mobile sales are gaining traction in emerging markets, especially since the price difference to feature phones continues to decrease.

Samsung is still the largest smartphone maker but has lost almost 8% within a year. Xiaomi has seen the largest growth and are now the 4th largest smartphone manufacturer as market share increased from 1.5% to 5.3%. Huawei holds the third spot but Xiaomi is expected to overtake Huawei as they are growing quicker and are only 0.1% behind. Considering Xiaomi is only for sale in a number of regions the future growth potential is enormous.

Apple sales grew 26% in the third quarter thanks to the new iPhone 6 and iPhone 6 Plus. Gartner expects Apple to have the best quarter ever in terms of iPhone sales during the fourth quarter.

Worldwide Smartphone Sales to End Users by Vendor in 3Q14 (Thousands of Units)

Company

3Q14

Units

3Q14 Market Share (%)

3Q13

Units

3Q13 Market Share (%)

Samsung

73,212.4

24.4

80,356.8

32.1

Apple

38,186.6

12.7

30,330.0

12.1

Huawei

15,934.9

5.3

11,665.7

4.7

Xiaomi

15,772.5

5.2

3,617.5

1.5

Lenovo

15,011.9

5.0

12,882.0

5.2

Others

142,891.6

47.5

111,445.0

44.5

Total

301,009.9

100.0

250,297.0

100.0

Source: Gartner (December 2014)

“Over the holidays we expect record sales of the iPhone 6 and iPhone 6 Plus, but we should not underestimate the Chinese vendors and local brands,” said Annette Zimmermann, research director at Gartner. “Chinese players will continue to look at expanding in overseas emerging markets. In Europe prepaid country markets and attractive lost-cost LTE phones will also offer key opportunities for these brands.” Gartner expects sales of smartphones to reach 1.2 billion units in 2014.

In terms of OS market share it is no surprise that Android is dominating with 83.1%. iOS holds 12.7% while both Windows and Blackberry declined.

Worldwide Smartphone Sales to End Users by Operating System in 3Q14 (Thousands of Units)

Operating System

3Q14

Units

3Q14 Market Share (%)

3Q13

Units

3Q13 Market Share (%)

Android

250,060.2

83.1

205,243

82.0

iOS

38,186.6

12.7

30,330

12.1

Windows

9,033.4

3.0

8,916

3.6

Blackberry

2,419.5

0.8

4,401

1.8

Other OS

1,310.2

0.4

1,407

0.6

Total

301,009.9

100.0

250,296.8

100.0

Acer chromebook

Notebook Shipments Increased 10% In November

Notebook brands have recently adjusted their strategies in order to limit the impact tablets and smartphones have had on sales.

It seems that the strategy is going to work out for the holiday season. While overall notebook numbers are expected to see a small decline, in November it actually increased by 10%.

The two main reasons are strong HP enterprise sales and high demand in the low-cost consumer segment.

HP ordered 4 million units from ODMs, which is a 60% increase from the previous month.

All seven major vendors being Apple, Lenovo, Samsung, HP, Asus, Dell and Acer are expected to make further adjustment when it comes to their product offering which should shake things up in this space.

Source: Digitimes

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Android 5.0 Available For Samsung Galaxy S5

Users in Poland have reported that Samsung has started an over-the-air update of Galaxy S5 devices.

galaxy s5

It is not known when the update will be available in other regions.

Maybe the update will help Samsung to increase sales on the flagship smartphone as sales has been way below expectations so far.

LG was the first company to make the new Android OS available to G3 users, Motorola and Google have also offered Lollipop to their users.

Sony and HTC have announced that they are going to make the update available within shortly as well.

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Xiaomi: “We Are Growing Too Quickly”

Smartphone maker Xiaomi took the leading position in terms of market share in China back in August this year. The company is only four years old and has experienced insane growth in the recent past. Last week CEO Lei Jun said that the company could become the largest smartphone company in five to ten years.

But that is easier said than done. Xiaomi is now slowing down the expansion outside of China. In an interview with Bloomberg, Hugo Barra, Vice President Global Operations, said that they will be focusing on five instead of ten new markets. India, Indonesia, Malaysia, and the Philippines will be the focus while they will delay launching their devices in Brazil, Turkey, Mexico, Russia and Thailand.

“We’re shipping absurd quantities into India. We went from shipping 50,000 a week into India to 200,000”.

India will continue to be a focus market for Xiaomi. In less than five month since they launched, sales has passed half a million units.

So Xiaomi is growing extremely quickly and not being able to keep up with demand is a luxury problem to have but the expansion needs to continue if they want to have a shot at challenging Apple and Samsung. So far Xiaomi focuses on emerging markets, it will be interesting to see in the future how they have to adjust their strategy in mature markets. Xiaomi sells mainly on price and in order to be able to do that they spend a fraction on marketing compared to Apple and Samsung. In order to position themselves as a premium brand and go up against Apple and Samsung they will need to invest in building a premium brand.

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Samsung Galaxy S5 Sales Way Below Expectations

Overall results for Samsung have not been impressive lately, as the electronics giant saw both revenue and profit decrease as the overall smartphone market share dropped from 32% to 25%. In China Xiaomi has taken the top spot and competition is increasing from all sides not just Apple with Motorola, LG and Huawei increasing their market share.

So while the iPhone 6 gave Apple a record quarter and 4 million devices were sold the first day and 10 million over the first weekend, Samsung is struggling with sales of the flagship Galaxy S5.

galaxy s5

According to the Wall Street Journal, a big reason for the bad numbers of the mobile division is the fact that the flagship Galaxy S5 is selling well below expectations. Sales for the last three month came in at 12 million units, 40% below what the company had forecasted. The Galaxy S4 sold 16 million units in the same time period.

According to WSJ, sales in China has declined by 50%, the only market which remains stable is the U.S.

Samsung is now increasing their marketing spend and plan to offer more discounts during the holiday season in an attempt to win back market share and clear warehouses.

samsung curved

TV Shipments Set To Reach 230 Million In 2015

According to Digitimes, TV shipments will grow 10% in 2015 and reach 230 million units.

The increase is driven by the demand for large-size TVs in established markets and small-sized TVs in emerging markets.

In the US there will be strong demand for Ultra HD TVs and China will see increased sales on UHD TVs in the 40 and 50 inch segment.

In emerging markets there is mainly demand for 24, 26 and 32 inch TVs.

Samsung is planning to ship 60 million TVs which would give them a 26% global market share.

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iPhone 6 Was Launched 3 Years Too Late, Apple Watch is Not Exciting, Says Steve Wozniak

Apple co-founder Steve Wozniak said in an interview with CNN that Apple launched the iPhone 6 three years too late and that he is not excited about the upcoming Apple Watch.

“Apple could have had a much bigger share of the smartphone market if it had a larger-screen iPhone for the past three years,” Wozniak said.

He looks back and thinks Apple could have been in a stronger position especially when it comes to competing with Samsung which has twice the market share, 24% vs 12% for Apple.

Wozniak isn’t too excited about the Apple Watch. He said he has bought a number of smartwatches but quickly ditched them. He called the Apple Watch a luxury fitness band but he was still going to give it a try when it comes out. He does however think it will sell well.

Source: CNN