Everybody knows that China is huge market for consumer products and every smartphone maker wants to tap this market. Apple likely is not accepting 17% as the best it can do.
With China’s smartphone market having grown 164% in 2011, iOS can and should do better inside of China, particularly as the iPhone is becoming an increasingly popular handset among Chinese consumers. However, Apple has a long way to go because catching Android in this rapidly expanding in the Chinese smartphone market.
The latest quarterly report from Needham & Company analyst Charlie Wolf has shown that Android controls a dominant 70% of the smartphone market in China today. Due to cheaper and more accessible devices than Apple’s iPhone, Android has truly become a powerhouse across Asia.
Wolf said this week in his new report:
“The surge in China can be traced in part to the introduction of smartphones at materially lower prices that made them competitive with feature phones. A material percentage of these sales were captured by second-tier Chinese manufacturers.”
The Chinese smartphone industry’s growth overall has been most impressive. With Chinese consumers clamoring to get their hands on the hottest new mobile gadget, Apple should not be disheartened as the iPhone maker still has ample opportunity to eat into that command Android market share.