Apple's iPad loses out to Huawei in Chinese tablet sales slump

Posted:
in iPad edited May 2020
Apple has suffered a major drop in iPad sales in China for the last quarter, according to analysts, with local rival Huawei overtaking Apple as the biggest tablet brand in the country, despite an overall slump in tablet sales for the period.




The coronavirus pandemic has hit many industries, with hardware sales also impacted in a variety of ways, such as with production delays and decreased demand. In China, shipments of tablets have shrunk considerably, down 30% for the first quarter of 2020 compared to 2019.

As one of the biggest-selling tablets in Q1 2019, Apple's iPad took a hit during the period. According to figures from IDC shared with the South China Morning Post, Apple's sales in the market dropped 42.5% year-on year.

The virus' impact on the market wasn't felt by all brands, however, with Huawei seeing its shipments growing 4.3% during the period. The sales shakeup also means Apple is no longer the biggest-selling tablet producer in China, with it acquiring 35.1% of the market for Q1 2020 against Huawei's improved 40.2%.

Huawei was the exception, as other major producers also saw sales contract. Xiaomi, Microsoft, and Lenovo each saw first-quarter slumps of 5.5%, 3.2%, and 1.7% respectively.

The coronavirus caused tablet shipments to drop sharply, but senior IDC analyst Guo Tianxiang points out "market opportunities arising from the pandemic were also unexpected by the industry," such as online education and remote working. "Online education will become the most important growth driver for the tablet market in the future."

Aside from sales prompted by social distancing measures, the tablet market also benefited from Lunar New Year holiday sales. China's second-largest e-commerce platform JD.com reported a 77% year-on-year increase in tablet sales for the first ten days after the Lunar New Year.

IDC's analysis of tablets is only one view of Apple's fortunes in China. Apple CEO Tim Cook advised in April that the company's demand in China has largely recovered from the virus-related slumps from earlier in the year, with demand improving in March and April following the staggered reopening of stores.

Meanwhile, the iPhone is still riding high in China, with sales in the first quarter down only 1% despite a general smartphone market contraction of 22% year-on-year.

Comments

  • Reply 1 of 10
    EsquireCatsEsquireCats Posts: 1,268member
    When it comes to these brands I don't have a lot of faith in their numbers. For example I literally got a Huawei tablet for free with my internet plan, and in the same store it was BOGOF for most of the low and medium range phones, with exception to iPhones.
    qwerty52watto_cobracornchip
  • Reply 2 of 10
    mtrivisomtriviso Posts: 21member
    I have been buying iPads since Steve first introduced them and will continue to buy iPads well into the future. There's just nothing out there that can touch them.
    edited May 2020 lkruppqwerty52pscooter63chiadewmewatto_cobra
  • Reply 3 of 10
    GeorgeBMacGeorgeBMac Posts: 11,421member


    The coronavirus caused tablet shipments to drop sharply, but senior IDC analyst Guo Tianxiang points out "market opportunities arising from the pandemic were also unexpected by the industry," such as online education and remote working. "Online education will become the most important growth driver for the tablet market in the future."

    Yes, the pandemic opened up remote learning and, while kids will return to the classroom (at least part time) you simply can't put that genie back into its bottle.

    But, without a keyboard & trackpad the functionality of a tablet is limited -- including in education.
    Adding mouse support to iPad was likely one of the smartest things Apple could have done.  A couple years ago Apple made a serious push towards education and released the low-cost (but very capable) iPad Gen6 to support it.  Unfortunately, until last month it pretty much stalled there.

    Now that same iPad has the ability to support third party bluetooth keyboards and trackpads.
    But, I would think that Apple would want to step into that to add its support as well -- that is, IF they are serious about education.

    But, thinking long term, it would be very foolish of them to not be serious about education -- because kids are being taught, indoctrinated and conditioned to use Google and Apple products.   And now Chinese kids are likely being taught, indoctrinated and conditioned to use Huawei products.

    I saw that play out with my grandson after I bought him a new MacBook Air -- he loved the hardware but hated the operating system because he didn't know how to use it.  The MacBook got relegated to a shelf while he used his mom's old, underpowered HP laptop -- until I installed Windows 10 on the MacBook under BootCamp.   Now he loves it!

    Perhaps the analogy is McDonald's play areas and Happy Meals.   McDonald's is not known for giving anything away -- ever.  But they gave those things away.   Why?  Because they indoctrinated kids into a lifetime of eating the stuff they call "food" -- despite a near certainty of it inducing a lifetime of obesity and chronic diseases. 
    edited May 2020 qwerty52mtrivisoentropys
  • Reply 4 of 10
    lkrupplkrupp Posts: 10,557member
    I was reading his report until I saw that IDC produced it. Then I stopped reading. The same IDC that confidently predicted that Apple would lose the smartphone market to Microsoft. The same IDC that said that Apple would lose the tablet market by 2017. Yes, that IDC.

    And how can anyone trust numbers coming out of China anyway? And if true, are we surprised that Huawei, a tech company supported by the communist totalitarian government that rules over its citizens with an iron fist, has an advantage over Apple?
    qwerty52mtrivisochiamark fearingSpamSandwichwatto_cobrabeowulfschmidtcornchip
  • Reply 5 of 10
    alexonlinealexonline Posts: 241member
    As Daniel Eran Dilger has explained time and again, IDC numbers ain’t worth diddly squat. Lkrupp above makes salient points.

    The report also states Apple captured 35.1% of the available Q1 market in China, even though China’s Q1 was ravaged by coronavirus

    Who is anyone trying to kid? These are great results. To try and spin this as a negative is asinine. 
    qwerty52mtrivisolordjohnwhorfinlkrupppscooter63chiawatto_cobracornchip
  • Reply 6 of 10
    KuyangkohKuyangkoh Posts: 838member
    As Daniel Eran Dilger has explained time and again, IDC numbers ain’t worth diddly squat. Lkrupp above makes salient points.

    The report also states Apple captured 35.1% of the available Q1 market in China, even though China’s Q1 was ravaged by coronavirus

    Who is anyone trying to kid? These are great results. To try and spin this as a negative is asinine. 
    He said he just came from China to get all the data for his reports....now believed that also. Hehe
  • Reply 7 of 10
    DongerDonger Posts: 2member
    IDC is not a source that can be trusted but with this report, and really who cares. The Chinese government, the general public and those who carry the beliefs of that region, are really not that important to me or many others outside of China. The rest of the world has to pull from its own resources. China must lose the communist regime and be cut off from the rest of the world until they do lose communism. There are a good number of people who live outside of China that we can do business with. Most items that are made in China are made of low quality. Why cater to that? There are 7.8 Billion people on this planet as of May 2020. There are 1.4 Billion and change who live in China. So what, the rest of the world can buy Apple products or competing products from Non Chinese companies. Worldwide sales numbers will represent a more accurate picture to where everything is at. And just a reminder to the Chinese companies that make phones and tablets... Steve Jobs got you started!
    watto_cobracornchip
  • Reply 8 of 10
    Right now, as it has been for years actually, who knows real numbers out of China especially from a Chinese company. But I think there is growing discord between teh countries and the 'buy Chinese' sentiment there can't be underestimated.
    watto_cobra
  • Reply 9 of 10
    leavingthebiggleavingthebigg Posts: 1,291member
    If HarmonyOS installed on the Huawei tablets, that is the bigger story. 
    watto_cobra
  • Reply 10 of 10
    GeorgeBMacGeorgeBMac Posts: 11,421member
    Donger said:
    .... China must lose the communist regime and be cut off from the rest of the world until they do lose communism. ...

    Why?   Does their form of government offend your right wing ideology?  Of the two, I would take communism over a racist, fascist dictatorship.
    muthuk_vanalingam
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