Apple's iPhone sales in China plunge at start of new year
Apple's iPhone sales in China will likely see a double digit decline in 2024 with "much stronger" domestic competition from rivals like Huawei, a recent note from Jefferies analysts suggested.
In the first week of 2024, Jefferies analysts reported that Apple's iPhone sales in China dropped by 30 percent, according to the note from the investment bank.
It also forecast that Apple's sales in China will continue to decline by double digits in 2024, while Huawei is expected to keep gaining market share. Apple's competitors have "remained much stronger," it added.
Jefferies is one of the latest international organizations to report iPhone sales decline in China.
Apple's new iPhone 15 performance has been "less-than-expected," while Huawei will generate a "Catfish Effect" on the competitive landscape in the future, thanks to its popular Mate 60 models, researcher International Data Corp or IDC said previously.
Since October, prices of Apple's new iPhone 15 models have plunged on Chinese mainstream online channels. The reasons cited for the surprising decline include the iPhone's overheating issue, the marketing campaign for the annual shopping festival, and competition from Android models, industry insiders said.
Since the release of Huawei's Mate 60 Series models in September, the Chinese tech giant has been the fastest-growing smartphone brand in China.
Prices of the new iPhone 15 models have plunged over 15 percent on Chinese mainstream online channels, such as Pinduoduo and JD.com, since October, only a month after their debut, Shanghai Daily reported earlier.
Chinese brands are speeding up new model releases in January. So far this year, firms like OnePlus, OPPO and Honor have launched new models while Xiaomi has released information about its first electric car.
The Android brands are offering artificial intelligence-powered systems and on-device intelligent applications, which are ahead of Apple, industry officials said.
In contrast, Apple has long been criticized for only making minor changes, such as in design, size and camera, in its new models, failing to surprise consumers with functional updates or make improvements in signal strength and battery life.
Honor, spun off from Huawei, released its new artificial intelligence operating system MagicOS 8.0 in Shanghai on Wednesday.
