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Samsung should thank U.S. for handing easy win over Huawei
The U.S. sanctions cost Huawei a big smartphone market and Samsung is only favored by the situation to top the market, as there’s no fight left against this South Korean company from other players.
Up until 2019, Huawei was at its peak performance in the global smartphone business industry. The company kept on touching double-digit growth, while Samsung struggled to save its top spot.
According to IDC, Huawei’s market share in Q1 2019 was 19% with a 50.3% year-over-year increase in shipments. It had only an 11.8% market share in the Q1 of 2018. On the other hand, Samsung had a 23.1% share with an 8.1% decline in the same quarter at 23.5% in Q1 2018.
Ban:
In May 2019, Huawei was restricted by the U.S. commerce department. Afterward, the Chinese tech maker was prohibited from accessing many U.S.-originated components and software services.
These include mobile chipsets as well as networking technologies. That’s not it, Google also stopped certifying new Huawei smartphones.
This was one of the biggest moves against Huawei from the U.S. government to settle the score over the intensified trade war with China. Here, Huawei was executed with unproven accusations.
These situations began to affect Huawei severely its roots and completely disturbed its supply chain. As it can’t import, the required materials to build new smartphones and compete with the likes of Samsung.
The effect of the U.S. ban was gradual and Huawei’s decline had just begun.
Samsung vs Huawei for 1st place:
Despite this massive problem, Huawei surpassed Samsung for the first time and became the sole company to achieve this milestone by ending its last 9 years of continues streak.
According to Q2 2020 market report from Canalys, Huawei shipped more smartphones worldwide than any other company. Huawei shipped 55.8 million devices, down 5% year on year. But second-placed Samsung shipped 53.7 million smartphones a decline of 30% as compared to Q2 2019.
Even with this achievement, Huawei’s massive decline had been initiated. Thereafter, Huawei, from 2020 to 2022, dropped from the top to the others category in quarterly shipments.
Samsung dominance:
IDC reports, in Q3 2022, Samsung acquired a 21.2% market share for the top spot. Followed by Apple with a 17.2% share and Xiaomi in third with 13.4%. While Huawei is nowhere for the time being.
No Progress:
Huawei showed that Samsung is beatable but this South Korean company is indirectly favored by the U.S. sanctions, so it could thank the Trump era for this massive move. Also, even after three years, Samsung is only saving its face because there’s no one there to challenge its prowess in the smartphone industry.
But it’s temporary because Samsung is just enjoying this no-competition zone and repeating Apple’s move, followed by Android’s gift cards. This firm is not doing anything new whatsoever and will be challenged once again sooner or later.