Smart-Phone competition from functional to Price: low-priced mobile phone inflow

Source: Internet
Author: User
Keywords Price wars competition smartphones
Tencent Science and Technology Beckham February 27 compiled as the high-end handset market is becoming saturated, the mobile phone industry is looking for fast growth opportunities for smartphones below 100 dollars, but not all handset makers are able or willing to condescend to lower prices. The Mobile World Congress (MWC) opened this week in Barcelona, Spain, the largest annual exhibition in the mobile phone industry. In this year's MWC, the main exhibits from the latest large screen, high-priced equipment, into a new entry-level smartphone. Analysts believe that this fully illustrates the current development of the industry's hope. All phones look the same. Ben Wood, a CCS insight analyst, said after visiting eight large mobile phone galleries and other mobile products. It is becoming increasingly difficult for top brands such as Samsung, Apple and Nokia to differentiate themselves. He said. Market research firm IDC said in Wednesday that global smartphone shipments will slow sharply this year, and that the slowdown will continue into 2018, and that the average price of mobile phones will be lower as market demand shifts to China and other developing countries. As a result, mobile phone makers are promoting the new Low-cost handsets, which will have a retail price close to or below $100 trillion, and feature some of the top smartphones. Top smartphones are priced at $ hundreds of trillion, until this year they remain the focus of media attention and attract the most marketing spending. In the low-end handset sector, the leading Chinese handset makers, some of them have created international brands, and some outside the Chinese market is still unknown. But these manufacturers have made great strides in terms of technology and design, enabling them to reduce costs in the context of quality assurance. So far, the biggest winners include Huawei, Lenovo and Tcl, and emerging brands that are still not well known to foreign users include Gionee, oppo and cool. However, Ben Wood says the companies will become big international brands in the next few years. All of these companies have benefited greatly from their own local advantages, after all, China is the world's largest mobile phone market. Nokia's switch to Android has forced Nokia to use Google's Android operating system to compete for the entry-level low-end smartphone market, even though Android is a major competitor for Nokia's future new owner, Microsoft. Nokia has launched its Nokia X phone, which is priced at € 89 (about $120), and Nokia CEO Elop Stephen Elop Classified it as a 100-dollar mobile phone, calling it a huge development opportunity in the smartphone sector, which is growing four times times faster than the high-end market. Mr Wood said Nokia's moves showed the pressure on the industry as a whole. The low-end smartphone market presents great opportunities, and eventually Nokia has to switch to rival software systems, Google Android. He described the move as highly controversial but imperative. Lower-priced smartphones often sacrifice large screensscreen, large memory and camera quality, and also do not support the novel features such as fingerprint identification, these products are designed to cover the emerging market billions of potential new users. Last year, smartphone sales surpassed the feature handset for the first time, according to Strategy Analytics, a market research firm. In addition, IDC analyst Francisco Aroni Mo (Francisco Jeronimo) said, Last year, only 100 dollar smartphone sales reached 159 million, equivalent to 45.4 million sales in 2012 more than 3 times times, 50 U.S. dollar smartphone sales rose faster, from 2012 's only 900,000 to last year's 19.5 million department. Component supply problems However, demand growth is driving up the cost of components, which is a strange phenomenon for an industry with declining raw material prices for technological advances. ZTE, the Chinese handset maker, expects mobile phone shipments to reach 60 million this year, up 50% per cent. The handset maker suffers from a tight supply of spare parts. All vendors face the challenge of increasing the cost of key hardware components, such as screen displays, memory and keyboard costs, said Lu Qianho, ZTE's marketing strategy director, which is the key to our product upgrades. But Kang Yulun, another executive at ZTE, said the company was developing new technologies to drive the cost of smartphones down to $50 or even lower, while ensuring product quality. "We will develop a technology solution for the 50 dollar price target by the end of this year," he said. He says he often communicates with African telecoms operators, who are still selling functional handsets, but are desperate for smartphones, hoping prices will be less than $50 trillion. TCL's ALCATEL OneTouch Brand is also the 100 dollar smartphone market leader, Idol series mobile phones have been successful in Latin America and Europe, TCL and at this year's MWC show at the two 100 U.S. dollars under the 4G mobile phone. But not all handset makers are pursuing low-end markets, and some believe that weakening hardware can lead to a similar market, and that no company can differentiate and maintain the profit margin it deserves. Huawei, the world's third-largest handset maker, is more willing to add 300 euros (about 400 US dollars) of mobile models and define low-end handsets as less than 150 euros. We do not care about low-end, Low-cost mobile phone sales. Huawei CEO Zhijun said.
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