24 December 2018
Chinese smartphone vendors Huawei and Xiaomi have estimated their smartphone shipments for 2019 will see a surge of over 20% year on year. This has led to higher than expected shipments for Taiwan chip suppliers including MediaTek, Novatek Microelectronics, Hixmax Technologies, Sitonix Technology and FocalTech, according to reports.
Chinese smartphone vendors Oppo and Vivo will reportedly see a very slight increase in shipments in 2019, due to their relatively weak momentum in developing the international market, and a slowdown in their domestic market.
However, Huawei and Xiaomi, which have seen immense growth in India and other emerging markets will see continue to see momentous growth. Huawei has recently projected its annual smartphone shipments for 2019 will reach 200 million units, which is an increase of 25% in sales from 2018.
Xiaomi which has become the number one smartphone vendor in India is expected to ship 150 million units in 2019.
This encouraging shipment growth projections from Huawei and Xiaomi will lead to an increase in sales of their supply chain partners in Taiwan which predict higher revenue increases than the industry average growth in 2019.
Oppo and Vivo will see not much increase in demand due to “weak momentum in developing the international market and a slowdown in domestic demand” according to reports.
Rival Apple which has been banned from selling older iPhones in China could see a further decline in shipments in 2019. The company has already lost its second spot to Huawei and could slip even lower next year.