10/25/2015

Why Huawei Phones Can Overtake Xiaomi Phones

Huawei's R & D strength and patent libraries, as well as in the Chinese market "To suppress Xiaomi by cloned Xiaomi" strategy worked and other factors, led to the success of Huawei's mobile phone business counterattack.

Pattern of China's smart phone market with "Pirates of the bell lightning speed" evolution, once the "China cool Union" has been falling apart, the market was short form "Xiao Hua Lian" (Xiaomi, Huawei and Lenovo), the situation of tripartite confrontation. Unexpectedly, the error acquisition of Motorola's mobile "burden" lead Lenovo does not get worse. While Huawei Xiaomi duo rivalry, the recently came a major news, Huawei first time in history surpassed Xiaomi, became the first Chinese smartphone market.

Xiaomi is the Chinese mobile phone industry deserved a "dark horse business", first of its kind to high cost, hunger marketing as the core elements of the "Internet phone" mode, to China's mobile phone industry has brought a concept of earthquake, almost all of China's mobile phone company "either already in imitation of Xiaomi or Xiaomi in to imitate the way."

However, Xiaomi eventually surpass Huawei, why is this side? Integrated many foreign media reports, Tencent Technology found that Huawei's R & D strength and patent libraries, international strategy and product vision ahead of Xiaomi factors, led to the Huawei's mobile phone business successful counter-attack.

For the first time overtake

This week, two market research company has released data to prove that in the third quarter, ahead of Huawei Xiaomi, became the first Chinese smartphone market.

First, the US technology market research firm Canalys released third quarter data, said Huawei smartphone deliveries surged 81%, has become the first Chinese smartphone market. The company said third-quarter mobile phone sales Xiaomi, an 8% decline.

But the company has not released detailed data in the third quarter share of China's smart phone market. In the second quarter before the Huawei share of 15.7%, 15.9% slightly behind Xiaomi.

Then, in addition, a technology market research firm IHS also released data, said three quarters of Huawei's smartphone sales in China, nearly ten million higher than Xiaomi Ministry confirmed that Huawei has become the Chinese market leader.

IHS said the first half of this year, Xiaomi sold a total of 34.7 million smart phones, while Huawei Technologies has sold 50 million. The company said the change from the chain perspective, Huawei Technologies, the Chinese market, growth, Xiaomi qoq contraction.

It should be noted that the two companies have yet to give a full report of China's smart phone market in the third quarter, especially precise share of each vendor. And said sales statistics, also accused of the existence of "vendor shipments" and "final consumer retail" data is not precise problem.

Many foreign Xiaomi pointed out that although Huawei has gone beyond the Xiaomi, but this is more than symbolic, Huawei is not currently a huge gap opened and Xiaomi.

For the data of the two institutions, a representative of Xiaomi companies told the media that such statistics and rankings may be more a matter of timing. The representative said that just released in mid-August Xiaomi red rice Note2, additional re-released later in September Xiaomi phone 4C, so in the third quarter of 2015, Xiaomi phone line went through a transitional period, Xiaomi needs improve new phone capacity to meet market demand, which will also affect the sales data.


Xiaomi mode dividend loss

Xiaomi mobile phone market in China has played a dark horse role, from a little-known newcomers into the global media attention, to get a significant share of the leading type vendors. A media report noted that staged a "Tortoise and the Hare" between Xiaomi and Huawei, accumulated more profound "turtle" Huawei, beyond the "initial explosive relatively strong," the Xiaomi.

Xiaomi industry for the current crisis were a variety of analysis, a more consistent view is that Xiaomi pioneered the "high cost + hunger + Internet marketing sales" model, was a collective imitation of Chinese mobile phone industry, Xiaomi business model innovation bonus gradual disappearance At the same time in the key mobile phone technology research and development (not only include software development and Andrews code modifications) and industrial design, was born late in the Xiaomi company has not yet formed a significant advantage.

2015 Xiaomi, the center of gravity placed on the mobile phone business can boost sales of low-end phones, the price is less than 1,500 yuan low-end phones frequently refreshed new products. While being concerned Xiaomi fans in the end flagship phone "Mi 5" appeared in the practice does not meet the bouncing, the industry mainstream argument is that mature market is waiting for a new generation of Qualcomm Snapdragon 820 SoC.

Products and technologies fast evolution

Huawei is one of the world's three largest telecom equipment manufacturers, major and Nokia, Ericsson and other manufacturers to compete for the enterprise market, smart phones and other consumer business, once Huawei's long-term weakness.

However, in recent years, Huawei depth involved in the smart phone business. And it has entered the first group worldwide smartphone.

Many foreign media that the reason why Huawei beat the market in China Xiaomi, and to establish a presence in overseas markets, thanks to its R & D accumulation, international perspective, and rapid imitation of rival models.

In product development and industrial design, Huawei's progress is clear, from the beginning of the evolution of the plastic body to the metal body, the second half of 2015, as part of its R & D and design strength of the most direct proof, Huawei and Google co-developed a two-year paragraph Nexus brand of high-end smartphone screen bigger, more expensive one, and this is the first time Huawei to become partners of Google Nexus.

Media generally agreed that, Nexus 6P launch, will help enhance the Huawei in the global mobile phone market brand image, again in because after "national security crisis network equipment" to exit the US market to build mobile phone business.

Has been the telecommunications equipment maker Huawei before a world-class, which makes Huawei has accumulated and the number of patents in the field of mobile communications technology, far more than Xiaomi other competitors, including China. A data show that the number of invention patents related to mobile phones Huawei more than 12,000, Xiaomi companies only 10, not even a fraction of Huawei.

Technical strength of leadership, especially its own brand Kirin chip, making Huawei can be introduced world-class performance in mobile phones, such as the use of pressure-sensitive screen, Huawei even ahead of the US Apple.

In product development, Xiaomi still remain in the United States to Samsung Electronics and Apple "me too" level (Xiaomi phone's name will follow these two industry leaders).

International Perspective

By telecommunications equipment to promote international business, international business, Huawei smartphone is also far ahead in Xiaomi. Xiaomi is called "China's apple", but Huawei has done a "unique in the world of Huawei."

After the attack on the United States market disruption, Huawei's mobile phone business to the European market as a priority, many high-end phones chose to hold the conference in London, Huawei's mobile phone business also set up overseas R & D and other branches.

As long engaged in the enterprise business, Huawei's international brand awareness is low for a long time, many foreigners can not even accurately say "Huawei" brand. In the past few years, Huawei began a generous brand marketing.

According to reports, Huawei has sponsored a number of countries in more than 30 football clubs including AC Milan, the Italian club. Last year, Huawei Technologies entered the world's 100 largest commercial brands Interbrand's list, and Corona, Heineken and other international brands neighbors.

Fast Copy Xiaomi mode

Faced with the sudden emergence of Xiaomi, placed in front of many Chinese mobile phone manufacturers the option is "either imitate Xiaomi, or exit the market." 2015, Lenovo mobile phone business in trouble, forced to restructure, a new Lenovo executives said that if the earlier launch imitate Xiaomi corresponding star burst models machine, Lenovo will not fall into the passive situation today.

In imitation of Xiaomi mode, Huawei's action very quickly. Reuters sharply pointed out in a report by the end of 2014, Huawei "Glory," a new brand of mobile phone sales in one year can be from 1 million to 20 million, Huawei's secret is to "copy" the Xiaomi network sales, cost-effective modes.

In the past two years, Huawei, Meizu is representative of the Chinese mobile phone manufacturers, according to a new phone rhythm Xiaomi, launched in performance configurations, prices are very similar products. Wherein, Xiaomi launched a new brand of cheap machine after "red rice", Huawei glory follow launched the "Play", Meizu is to launch a "charm blue."

Close clone Xiaomi, follow Xiaomi strategy makes Huawei successfully dug a Chinese low-end Android phones explosive growth of valuable opportunities. Today, Huawei glory brand has been out of the country, the development of markets in developing countries like India and Brazil.

And Huawei, Meizu's "quick clone Xiaomi" Compared to the past in 2012, the security software vendor 360, depending on music video site, Lenovo and other manufacturers, imitate Xiaomi mode slow movement, you have missed the best time. By the first half of 2015, China's smart phone market have been unique in the world, and up to one year to the alarming decline.

Under China's smart phone began to shrink downstream in the background, Huawei will depend on whether international, technology patents and other advantages, continue to pull and Xiaomi distance, Lei Jun is able to realize the plight of the "second innovation" (except in addition to international ), let Xiaomi tightly wrapped Huawei, the outside world will continue to pay close attention.

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