Feeds

Lenovo's mobile push stalls in China

Samsung steamrolls everyone, including Apple and Gartner

  • alert
  • submit to reddit

The essential guide to IT transformation

Lenovo's emergence as a smartphone player has stalled in China, where Samsung is eating everyone else alive, as indeed it is also doing around the world.

Lenovo last year entered the burgeoning Chinese smartphone market with Android-powered budget models priced at under $US200, the sweet spot for smartphones in the Middle Kingdom. The phones were a hit and Lenovo quickly challenged Samsung as China's dominant smartphone vendor, capturing around three per cent of the global market along the way.

That success led to speculation that Lenovo could bring its smartphones to the rest of the world, perhaps even by acquiring BlackBerry. Analyst firm Gartner even predicted 2013 would see Lenovo would knock Samsung off its perch as China's top mobile vendor.

Rival analyst outfit TrendForce says that's not happening, as Samsung's global market share of 29.6 per cent included 11.7 million Chinese sales for 2013's first quarter (out of 65m in global sales). Lenovo, by contrast, went backwards as it racked up just 7.6m sales, around 15 per cent less than expected.

TrendForce says that slippage also hit other Chinese mobe-makers and can be attributed to the fact that Samsung is now China's “leading brand in terms of both reputation and image”. The Korean company's not far off that status in the rest of the mobe-buying world, as TrendForce says it outsold Apple handily in Q1 of 2013 and put a 1.2 per cent dent in Cupertino's global handset market share, in part because “circumstances surrounding the announcement of Apple’s new device are unclear, while Samsung, HTC, Sony, and other global corporations are planning product unveilings for the second quarter, which will likely lead to another dip in Apple’s shipments.”

TrendForce's mobile market data for Q1 2013

TrendForce isn't being entirely kind with that point, as post-Christmas sales aren't strong, making a Q1 sales dip entirely excusable.

At this time of year Apple often “freezes the market” by leaking and later announcing details of its latest creations so that punters wait for the new iPhone instead of splashing cash on rival products. With significant smartphone differentiators now hard to spot it's debatable whether that trick will work again if Apple sticks to its release cycle of an “S-model” update in odd-numbered years, as a tweaked iPhone 5 won't startle many buyers.

And Lenovo? It's had a lesson in just how hard the smartphone market can be for all players: TrendForce says BlackBerry had 4.4 per cent global market share in 2012, but now consigns it into the swill of “others” that each own less than 3.5 per cent of the global market, but still account for 23.9 per cent of all sales. ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
Kaspersky backpedals on 'done nothing wrong, nothing to fear' blather
Founder (and internet passport fan) now says privacy is precious
TROLL SLAYER Google grabs $1.3 MEEELLION in patent counter-suit
Chocolate Factory hits back at firm for suing customers
Mozilla's 'Tiles' ads debut in new Firefox nightlies
You can try turning them off and on again
Sit tight, fanbois. Apple's '$400' wearable release slips into early 2015
Sources: time to put in plenty of clock-watching for' iWatch
Facebook to let stalkers unearth buried posts with mobe search
Prepare to HAUNT your pal's back catalogue
prev story

Whitepapers

Endpoint data privacy in the cloud is easier than you think
Innovations in encryption and storage resolve issues of data privacy and key requirements for companies to look for in a solution.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Advanced data protection for your virtualized environments
Find a natural fit for optimizing protection for the often resource-constrained data protection process found in virtual environments.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.