0519 GMT - China's smartphone makers could face more pressure ahead amid higher prices of memory and other components, Counterpoint Research says in a note. Despite a double-digit drop in 2Q smartphones sold to consumers compared with the previous year, shipment to retailers only fell 1%, Counterpoint data shows. This is because phone makers had built up inventory in anticipation of further memory-price hikes, it says. Huawei maintained its leadership in China, with a 23% market share, while Apple ranked second, with 18% of the market. Xiaomi, whose 2Q shipments dropped 21% on year, took the biggest hit, mainly due to its heavy reliance on low-end models, the research firm says. To cope with higher costs, smartphone makers could raise prices further in the coming months, which would put pressure on their shipments, it adds.
Comments