No access to the US market, no problem. During the second quarter, Huawei for the first time became the world’s largest smartphone vendor, according to research firm Canalys.
From April to June, Huawei shipped 55.8 million units, just a little more than second-place Samsung, which shipped 53.7 million units.
However, the Chinese company’s rise to No. 1 wasn’t necessarily due to a snazzy new product or feature. Canalys points to COVID-19, and how the pandemic depressed smartphone demand across the globe. In Huawei’s case, the company’s smartphone shipments were actually down year over year by 5 percent. But the situation was worse for Samsung, despite releasing the Galaxy S20. Its shipments fell 30 percent year over year, opening the door for Huawei to grab the top spot.
“If it wasn’t for COVID-19, it wouldn’t have happened,” Canalys Senior Analyst Ben Stanton said in a statement. “Huawei has taken full advantage of the Chinese economic recovery to reignite its smartphone business. Samsung has a very small presence in China, with less than 1 percent market share, and has seen its core markets, such as Brazil, India, the United States and Europe, ravaged by outbreaks and subsequent lockdowns.”
(Credit: Canalys)
The accomplishment is also noteworthy because the US government has been trying to block the biggest technology companies from supplying Huawei on claims it represents a national security threat. For instance, while Huawei phones can still use the open-source version of Android, they can no longer carry the official Google Play Store and other Google apps such as YouTube and Gmail.
Many US retailers and carriers have also abandoned Huawei devices in stores. As a result, the Chinese company has a nearly non-existent market share in the US. The good news for Huawei has been China. The country is the world’s largest market for smartphones, and many consumers there have been flocking to Huawei products, partially out of patriotism and perhaps anti-US sentiment.
Research firm Strategy Analytics told PCMag its data also showed that Huawei became the No. 1 vendor in Q2. Still, analysts don’t expect Huawei to maintain that status for long. “This ranking is short-lived,” said Strategy Analytics Director Linda Sui. “Samsung has returned to the top spot since June 2020, the trend will maintain in the following months.”
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