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Samsung, Apple To Battle Over Huawei Market Share

Supply chain sources claim Samsung and Apple are gearing to battle over market share potentially relinquished by Huawei in the premium phone space, following trade tensions between the Chinese giant and the US.

Reported by Taiwanese trade publication, DigiTimes, supply chain sources claim the race will have a significant impact on each of their respective production chains around the world.

Sources claim competition for former Huawei customers outside of China will likely heat up in 2021. The inclusion of WeChat on new iPhones is also tipped to affect whether Apple or Samsung will charge ahead.

It follows reports WeChat may be barred from Apple’s App Store amid US restrictions over alleged cybersecurity risks.

The news follows Huawei’s forced retreat from many international smartphone markets, with US sanctions barring access to key components and software such as Google’s Android.

Should Samsung gain the upper hand, the company’s mostly Korean supply chain is tipped to gain more orders at the expense of Taiwanese and Chinese vendors. The company’s foundry division is also set to gain increased mobile chip orders.

On the other hand, should Apple snare more of Huawei’s market share, consensus is that Taiwanese and Chinese component markers will gain more windfall orders.

Huawei consumer boss, Richard Yu, has affirmed its commitment to the smartphone market, announcing plans to deploy smartphones with its home-grown Harmony OS next year, following the mandatory split from Android.

The beta version of Harmony OS will roll-out to Chinese app developers later this year, with the final version set to be made available to other Chinese phone makers (e.g. Oppo, Xiaomi and Vivo).

Huawei has reportedly built its own version of popular apps, with a new ecosystem offering alternatives to platforms such as Google Maps.

The company has continued to rebuff allegations that its software and services present cybersecurity risks stemming from links to the Chinese government.

 

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