Huawei to ship 100 million handsets in 2015

1 Feb

In a bid to target high-end consumers and global markets, Huawei Technologies Co. will increase smartphone shipments to 100 million units this year, up from 75 million in 2014.

Huawei plans to boost the portion of sales from premium handsets, including the Mate 7, P7, or Honor 6, to more than 30 percent from 18 percent.

Huawei is increasing its stable of smartphones priced above $300 to distinguish itself from Xiaomi and Lenovo, Chinese vendors known for their cheap mobile devices. Huawei expects consolidation in the smartphone industry and wants to move into the top tier of global handset brands alongside Samsung and Apple, analysts say.

Richard Yu, chief executive officer of Huawei’s consumer unit, told Bloomberg last week the Shenzhen-based tech company is “giving up on the low end of the [smartphone] market.”

Huawei ranked fifth in global smartphone shipments in the third quarter of 2014 with a 5.1 percent share, behind Samsung, Apple, Xiaomi and LG, respectively, according to the research firm Strategy Analytics.

“Over the last two to three years, and in 2014 in particular, we have seen Huawei make concerted efforts in the mid-range of the market,” Kiranjeet Kaur, a Singapore-based analyst at International Data Corp, told Bloomberg. Huawei’s flagship models like the Honor 6 have helped the company move up the value chain, he added.

Huawei will continue to emphasize growth in overseas markets in 2015. The company said in a January statement the portion of its handset sales from overseas markets will rise to 60 percent this year from 52 percent in 2014.

Huawei’s smartphone sales may rise to $16 billion this year, from $12 billion last year, Yu told Bloomberg.

(Picture source: Flickr/Vernon Chan CC BY 2.0)

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