Detailed explanation of the development challenges faced by Huawei mobile phones

Huawei mobile phones can see the hype of its consumer BG CEO Yu Chengdong almost every time they release a new mobile phone. Now it is re-emphasizing that it will be the first in the world when releasing the new high-end mobile phone P20, but the reality is giving it a splash. The basin is cool.

Huawei has always wanted to make a difference in the high-end mobile phone market. Its mate series and P series have indeed become famous in the global market. Last year, its Kirin 970 was hailed as the world's first integrated AI chip, using this chip mate10 The mobile phone has also attracted global attention; although the P20 Pro released this time is not as good as Qualcomm's high-end chip Snapdragon 845, its three-camera camera function has once again caused waves in the global smartphone market, and there are even rumors that Apple It is also possible to follow up with the iPhone with a three-camera.

However, the gap between Huawei's sales in the high-end mobile phone market and Samsung and Apple is still very obvious. Huawei's mobile phone said that the P20 will impact 20 million shipments, but how many of them come from its low-end version of the P20 lite or youth version. What? Even so, the gap between this and the sales of tens of millions of Samsung and Apple iPhones is quite obvious.

Huawei's mobile phone catches up with Apple and Samsung mainly in terms of shipments. However, Huawei is facing the ceiling in terms of shipments. In recent years, its shipment growth rate has continued to decline. The data shows that in 2015, 2016 and 2017. Smartphone shipment growth rates were 44%, 29%, and 10.1%, respectively, and shipments in 2016 and 2017 did not meet shipment targets.

Huawei phones are too dependent on the domestic market. In 2017, the growth of its shipments relied heavily on the growth of shipments in the domestic market. According to GFK's data, 102 million of its shipments came from the domestic market this year, accounting for the proportion of its total shipments. 66.7%, which has a significant increase compared with the proportion of domestic shipments in 2016 slightly exceeding 50%.

The domestic mobile phone market is experiencing a cold wind. From the fourth quarter of last year to the first quarter of this year, the domestic mobile phone market shipments have seen more than double-digit declines. In the first quarter of this year, domestic smartphone shipments fell by 26.1% year-on-year. This means that after several years of rapid growth, the Chinese smartphone market seems to be entering a recession. This is obviously not good news for Huawei, which relies on the domestic market. It will face more intense competition from its competitors in the domestic market.

For Huawei mobile phones, the bigger blow comes from overseas markets. It has always hoped to develop itself into an international brand and increase shipments in overseas markets. However, data in 2017 showed that its overseas market shipments showed 18.3% year-on-year. % decline. This is closely related to its insufficient attention to overseas emerging markets and its repeated setbacks in the US market. From now on, its opening to the US market is still far from indefinite, while its performance in overseas emerging markets is far less than that of Xiaomi.

Under such circumstances, Huawei's mobile phone shipments are facing huge difficulties in achieving continuous growth, so that the market GFK is not optimistic about Huawei's mobile phone shipment growth this year and next year, which is surpassing Apple and Samsung. The goal is not easy to achieve.