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China’s Huawei Comes in 2nd in Global Smartphone Market
Putting Samsung on Alert
China’s Huawei Comes in 2nd in Global Smartphone Market
  • By Michael Herh
  • August 2, 2018, 12:02
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Huawei's global smartphone sales grew 40% in a year while Samsung suffereda decline, raising concern that the Korean company may lose the top position to Huawei a few years later.

China's smartphone maker Huawei overtook Apple to rank second in the global smartphone market for the first time. Unlike Huawei, which posted a 40% growth in smartphone sales in a year, Samsung Electronics suffered a decline, raising concern that it may lose the top position to its Chinese rival in a few years.

According to IHS Markit, a global market research organization, on August 1, Huawei shipped 54 million units in the second quarter of this year, accounting for 15.8 percent of the global market. Huawei rose to second place by recording a 41% increase in its shipments in a year, outclassing Apple (43.1 million units, 12.1%) and standing second only to Samsung Electronics (70.8 million units, 20.6%).

Samsung Electronics suffered a 10.8% drop in shipments on year in the second quarter, becoming the only smartphone maker among the top five companies that saw shipments decline during the period. Some experts in the smartphone industry say that Chinese companies will be able to overtake Samsung in the near future.

In the meantime, prices of NAND flashes, the main memory semiconductor of Samsung Electronics and SK Hynix, fell in ten months. According to market researcher DRAMexchange, the average fixed price of NAND flashes (128Gb and 16Gx8 MLC) dropped 5.89% from June to US$ 5.27 at the end of July. The price slid in only 10 months since last September when it dropped from US$5.78 to US$5.60. The price drop was the largest since December of 2015 (-4.66%).