Monday, 12 May 2014
Apple and Samsung both announced a decrease of market share recently, what are the consequences of this loss of market share for themselves, competitors??
Samsung faced tough competition from Apple at the higher-end of the smartphone market and from Chinese brands such as Huawei at the lower-end.
Apple’s loss of share is down to continued lack of presence in the entry-level category (aka: there’s still no budget iPhone) - where it’s losing volumes in fast-growing emerging markets such as Latin America. At the premium end of the smartphone segment Apple is continuing to perform strongly and on top of this, the lack of new features in recent releases has seemed to result in the company losing their market share.
Also, there are threats from Microsoft who had some significant gains in the European Union Five market compared to last year, climbing 5.3 percentage points even there was no growth in China over last year.
Huawei and Lenovo are both threatening to take more marketshare from the market leaders.
Huawei is expanding swiftly in Europe, while Lenovo continues to grow aggressively outside China into new regions such as Russia.
If various governments approve Lenovo’s Motorola takeover, that joint company will prove an even greater threat to Apple and Samsung later.
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