Chinese manufacturer Huawei has had no hands-on measures to deal with problems coming from the United States. Early last year, the U.S. banned Huawei from doing business with American companies. The main effect of this ban is that the Chinese giant cannot use Google Mobile Services. This means that there is no Gmail, Google Maps, and others. However, you can still use the open-source Android system. Without GMS, Huawei’s smartphone sales end up falling in some markets outside China. Although this has been the case, global smartphone sales continue to grow. In 2019, Huawei’s smartphone sales reached 240 million units, a new record. In addition, in April 2020, Huawei took down Samsung to become the world’s leading smartphone brand. And what happened to Huawei in June?
Surprise! After all, Huawei continues to lead in June!
In May, Huawei maintained its position as the world’s leading smartphone brand. However, the percentage difference between Huawei and Samsung, in second place, is only 0.1%. This led to speculation that Samsung would regain its position in June. However, looking at Nikkei’s recent information, Huawei is likely to maintain its position in June. In practice, it says that in the global smartphone market, from April to June, Samsung Electronics will continue without surpassing Huawei.
Due to the longer quarantine period and as a result of the coronavirus pandemic, shipments for distribution have likely decreased by around 30% year on year, from April to June. Since Huawei’s main current market is China, the company’s sales have decreased less. These slower smartphone sales have affected Samsung’s overall performance.
Samsung’s consolidated financial report from April to June (Express Value) released on July 7 showed that operating profit was 8.1 trillion won, an increase of 23% over the same period last year. Operating profit decreased by 7% to 52 trillion won. According to estimates by SK Securities in South Korea, Huawei’s shipments for distribution in April-June were 55 million units. Samsung has only 51 million units.