Huawei regained the sales crown in China s mobile phone market, and supply chain companies stepped

Mondo Technology Updated on 2024-02-07

After 4 years, Huawei mobile phones once again won the sales championship in the domestic market.

According to the report on China's smartphone weekly sales data released by Counterpoint Research, an authoritative market research agency, Huawei will regain the top of the domestic market share list with the first smartphone sales in the first two weeks of 2024. On February 5, the topic of "Huawei regained the first place in sales in China's mobile phone market" rushed to the hot search. On the same day, Huawei's concept stocks performed actively, Hongtao shares, SkyOcean New Materials, and Dongtu Technology**953%。

Affected by the rising sales of mobile phones and other terminals, the performance of Huawei's first-chain enterprises has also performed well. According to the statistics of Oriental Wealth Choice, as of February 5, among the 393 Huawei concept listed companies that have disclosed their performance forecasts, 212 companies have good performance (pre-increase, continued profit, slight increase, turnaround, and loss reduction), accounting for about 54%. Among the 212 companies, 36% of the companies have a year-on-year increase in net profit of more than 60%.

With the continuous launch of new phones and the orderly recovery of the mobile phone consumer market, Huawei's mobile phone sales are also expected to perform well in 2024. Lin Zhi, chief analyst of WIT Display, said in an interview with the ** reporter, "In view of the heating up of the market, Huawei has added mobile phone orders to the ** chain and increased the stock of parts." On the eve of the Spring Festival, industry chain manufacturers have been stepping up preparations for Huawei, and some manufacturers are also building new production lines for Huawei to meet its needs. ”

Returned to the No. 1 sales volume in the Chinese market

According to the aforementioned report, Huawei's mobile phones won the first place in the sales volume of China's smartphone market in the first two weeks of 2024, and it has been four years since the last championship.

The terminal integrated with the self-developed Kirin chip and HarmonyOS has been recognized by the market, which is the key to the strong comeback of Huawei mobile phones in the market. Counterpoint Research believes that the Mate 60 series, powered by its self-developed Kirin 9000S chip, is a key driver of Huawei's near-term success. In addition, its strong brand loyalty and the successful launch of the HarmonyOS operating system have contributed to this.

Huawei's rapid return in the mobile phone market has benefited from its long-term technology research and development and product innovation. Even in the face of adversity, Huawei continues to launch new products with differentiated competitiveness, and firmly follows the latest software and hardware technologies. In addition, from the perspective of brand influence, Huawei has established a good image and reputation in the global market over the years, which has also laid the foundation for its return. Wang Peng, an associate researcher at the Beijing Academy of Social Sciences, told the reporter.

Huawei's mobile phone sales are booming, which has also become one of the important driving forces for domestic mobile phone manufacturers to hit the high-end market, and has driven the domestic mobile phone market into the recovery track. In the past year, many manufacturers such as Honor, Vivo, and Xiaomi have benchmarked against Huawei and upgraded their high-end strategies. According to a report by Counterpoint Research, China's high-end smartphone market grew by 27% in 2023. Apple's market share is starting to be eaten away by Chinese brands such as Huawei. According to IDC data, in the fourth quarter of 2023, China's smartphone market shipments increased by 12%。This is the first time the market has achieved this after ten consecutive quarters of year-over-year declines.

It is foreseeable that with the strong return of Huawei and the launch of a new round of impact by many domestic brands in the high-end market, the battle for giants in the domestic mobile phone market will also be more anxious in 2024.

Yuan Shuai, executive director of the high-quality development promotion project of specialized, special and new enterprises, told the reporter: "With the rapid development of 5G and AI technology, the new space for the development of the 'Zhilian' mobile phone market will be further opened this year. ”

Ivan Lam, senior analyst at Counterpoint Research, suggests: "In 2024, mobile phone manufacturers need to do more prominently in terms of product layout, pricing, promotion and channel distribution in order to stabilize their market share and even eat away at the market share of other brands." ”

**Chain localization is the trend

Huawei's mobile phones have made a good start in 2024 and are expected to continue to drive the industry chain to heat up. Sima Qiu, research director of McGello Consulting, an international research agency, said that in 2024, Huawei's OLED** suppliers will generally significantly increase their shipment expectations, and Huawei's smartphone shipments may be close to 60 million units.

Among them, the order volume of Huawei Mate 60 series continues to increase, and the target shipment of folding screen mobile phones will also be adjusted to 10 million units. Last year, its shipment target for folding screen phones was only 2.6 million units.

The increase in Huawei's mobile phone sales target has directly triggered changes in the first chain, and some parts are even facing a tighter situation. According to **chain sources, Huawei is currently "sweeping" key components such as CMOS image sensors. Affected by market supply and demand, CMOS image sensors are constantly increasing, and some manufacturers have increased their volume by 25% to 30%.

Lin Zhi said that the increase in the localization rate of the domestic mobile phone chain will be the trend, and Huawei and other mobile phone manufacturers will increase the proportion of domestic mobile phone manufacturers, so as to ensure the stability of the chain while avoiding further development. It is understood that the localization rate of Huawei Mate 60 series mobile phones has reached more than 90%. At present, Haowei Technology and other companies have become the main leading suppliers of Huawei CMOS image sensors, and listed companies such as Visionox, Wuhan Fangu, and Tuowei Information have also entered the industrial chain such as Huawei mobile phones.

In Yuan Shuai's view, the rise of Huawei's mobile phones has played a significant role in driving the ** chain. "With the growth of Huawei's mobile phone sales, the first chain enterprises have also gained more development opportunities. Huawei's selection of first-chain enterprises is very strict, requiring high quality, high efficiency, and high reliability, which will prompt first-chain enterprises to continuously strengthen their own strength and competitiveness, and form a healthy competition and cooperation mechanism. At the same time, Huawei will also actively promote the localization and diversification of the ** chain, and promote its improvement and upgrading. ”

Optimistic about the performance of domestic mobile phones such as Huawei in 2024, relevant **chain companies are also stepping up stocking to meet market demand. "The core components such as high-end chips, screens, and smart cameras have begun to tighten. Lin Zhi said that the trend of smartphone manufacturers stocking up in advance is obvious, and it is expected that memory and AMOLED panels** will be at a relatively high level.

Industry chain enterprises should strengthen communication with Huawei and other manufacturers, keep abreast of market demand and changes, ensure the smooth and stable operation of the first chain, and improve the independent and controllable ability of products, and improve the added value and competitiveness of products. Mobile phone manufacturers can also further enrich procurement channels, improve the efficiency and response speed of the entire ** chain, and reduce costs and risks. Wang Peng said.

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