Hauwei defies trend with smartphone sales growth of 39%

Defying a dropoff in sales of smartphones in the Chinese market, Huawei reported their smartphone sales for the first half of 2015 increased 39 percent. The performance was driven in large part by demand for high-end devices, which when combined with Huawei’s middle tier handsets, resulted in a 70 percent increase in shipments for those categories.

According to Huawei, the largest telecom equipment manufacturer in China, the company sold 48.2 million smartphones during the first half of the year. For reference, Apple sold 47.5 million iPhones just in the second quarter. Although Hauwei is huge in China, they still trail Apple, Samsung and Lenovo in terms of global smartphone sales.

Analysts have noted that the Chinese market has started to cool recently. For the first quarter of 2015, the market actually experienced a contraction which was the first decline since 2008. For the past five years, the Chinese market average 88.8 percent annual growth. However, IDC is projecting that growth rate will fall all the way to just 4.4 percent by 2019.

Huawei has slowly been positioning itself to survive the changes in its home market for smartphones. The company has introduced a smartwatch, it has been rolling out a global marketing campaign, and has focused on expanding in European markets, notably Spain and Italy.

source: Bloomberg

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