One-third of the total smartphone sales in China were 5G devices during the June quarter as Chinese operators, as well as original equipment manufacturers (OEMs), actively pushed 5G smartphones via lowering prices along with attractive 5G plans, according to a new report. Overall smartphone sales in China declined 17 per cent year-over-year in Q2 2020.
However, the sales increased 9 per cent quarter on quarter indicating some signs of recovery. Covid-19 has been mostly contained in China but the demand for smartphones is yet to recover to pre-COVID levels, said the report by Counterpoint Research.
"Despite a slowdown in the smartphone market in China, Chinese OEMs have picked up the pace in 5G developments that were hampered by Covid-19 disruptions in Q1 2020," Ethan Qi, Senior Analyst, Counterpoint, said in a statement. In Q2, 33 per cent of smartphones sold were 5G enabled compared to just 16 per cent in Q1. "The proportion was even higher in June, where more than 40 per cent of smartphones sold were 5G capable," Qi added.
China's 5G smartphone market is quite consolidated with HOVX (Huawei, OPPO, Vivo and Xiaomi) grabbing 96 per cent of the market. Huawei dominated 5G smartphone sales, accounting for 60 per cent of the market. High-end 5G smartphones are predominantly from Huawei, while Oppo, Xiaomi, and Vivo all have various offerings in the mid-tier.
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