Huawei smartphone lost the throne to Oppo with chip shortage

Huawei, which is dealing with the US government's blocking efforts abroad, lost its first place in the smartphone market in China to Oppo. The decline in sales that started in 2020 continued in the last quarter of the year.

It was found that the delivery of smartphones decreased by 34,5 percent in the company's total last year. Rival manufacturers also took advantage of this situation seriously. While Xiaomi recorded an increase of 48 percent in the same period, Oppo also made an 18,3 percent output. Meanwhile, Apple, which has increased its current share in the market by 34,7 percent, joined the winners.

There are different reasons why Huawei is losing sales. The company had trouble sourcing the chip due to the restrictions it was exposed to. This seriously affected production. Because most of the phones currently sold in China are 5G-connected, Huawei could not produce enough due to the chip problem. Another factor in Huawei's loss is the departure with Honor, who abandoned its main group to avoid the company's embargo and embarked on independent smartphone manufacturing. Companies such as Xiaomi and Oppo have managed to fill the gap created by this in terms of the middle class intelligently.

Oppo launched an expansion campaign in 2020, with a large number of products sold in countries other than China. Indeed, over the past year, Oppo has recorded a 200 percent growth in its deliveries to Western Europe, according to its own data. In addition to its main product, the Find-X Series, it has also gained recognition with other models with a high 'price / performance' ratio.

Source: China International Radio

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