In 2019, the global smartphone market shipped 1.38 billion units, down 2.2% year-overyear (YoY). The mature markets such as North America, South America, Western Europe, and China all declined. China’s market though is going through a transition period from 4G to 5G, and the shipments of mid- to high-end 4G smartphone models fell sharply in 2H19. China’s market shipped 361 million smartphones in 2019, a YoY decline of 7.6%. In the early stage of 5G switching, the operator’s network coverage was insufficient. Consequently, 5G chipset restrictions led to excessive costs, and expectations of 5G led to short-term consumption suppression. The proportion of 5G smartphone shipments was relatively small while shipments of mid- to high-end 4G models declined sharply.
The overall shipment of smartphones from Chinese mobile phone manufacturers reached 733 million units, an increase of 4.2% YoY. However, demand in China’s market declined; yet, growth came from shipments in the overseas markets with 434 million smartphones shipped in the overseas market, an increase of 12.4% YoY. OPPO’s overseas market shipments increased by more than 60% in 2019. Its sub-brand, Realme, shipped 25 million units in 2019, mainly concentrated in the Southeast Asian market. In 2019, Xiaomi’s smartphone shipments hit 87 million units in the overseas market, an increase of 32% YoY, and its market share in the European market grew rapidly in 2H19.
