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OPPO, Huawei & vivo Grab Nearly Half China’s Smartphone Market in 2016- Report

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According to the latest IDC Quarterly Mobile Phone Tracker, the smartphone market in China saw a 19% YoY growth and 17% QoQ growth in 2016Q4.

For the full year of 2016, the market grew by 9% with top Chinese smartphone vendors taking up a larger share of the market.

The 4 Chinese vendors in the top five were the same in 2015, and their share grew from 46% in 2015 to 57% in 2016. This shows the growing local acceptance of Chinese vendors in its home country with the improvement in product features and better marketing messages seen in the past year.

“Increased dependence on mobile apps has led to consumers to seek phone upgrades, thus helping drive the large growth in 2016Q4. In lower tiered cities, there was a similar demand by consumers, which OPPO and vivo met by aggressively pushing mid-range smartphones in these cities,” said Tay X iaohan, Senior Market Analyst with IDC Asia/Pacific’s Client Devices team.

2016 was the first time ever that Apple saw a YoY decline in the PRC market. Even though the new black colored iPhones caught the attention of consumers, overall, the new launches did not create as much of a frenzy compared to the past.

Despite the decline, IDC does not believe Chinese vendors have actually eaten away Apple’s market share.

Most Apple users are expected to be holding out for the new iPhone that will be launched this year, and that will help the brand to see a growth in 2017. Apple’s 10-year anniversary iPhone will also likely attract some of the high-end Android users in China to convert to an iPhone.

A key trend that stood out in 2016 was the slowdown of the growth of the online channel in China.

There is no longer a single channel that is seeing exponential growth for smartphones unlike previous years. Most brands are now using a combination of channels to increase their shipments.

Xiaomi, previously focused on online channels, has opened more Mi Home stores to drive offline growth. Apple has also been aggressive in increasing its offline retail presence. Some vendors outside the top five vendor list in 2016, e.g. Gionee, also saw good growth in 2016 due to its expansion in the offline channel in the lower tiered cities.

To differentiate itself from OPPO and vivo who predominantly target a younger audience, Gionee has been targeting professionals and executives, and hence found a niche market for itself to stand out against its two competitors.

Here’s a quick view of what to expect from the China smartphone market in 2017:

Top vendors will continue to take up a larger share of the market while smaller brands will begin consolidation. 360 stopped launching phones under the Dazen and Qiku brands in 2017, and this will happen for more brands in 2017.

Chinese vendors will continue to focus on their international expansion plans. At present, out of the top three Chinese vendors in China, Huawei is the most successful with half of its shipments coming from markets outside China in 2016Q4. We expect these vendors to increase their shipments in the international market, with India as a key target for these top Chinese vendors.

Chinese vendors are starting to launch phones with dual cameras and curved screens. We expect that to be the norm for most flagships in 2017. Cameras will continue to be a key focus in the marketing messages by vendors especially given the strong selfie culture in China, as exemplified by the popularity of apps such as Meitu.

Similarly, Chinese vendors will be aggressive with other new technologies such as flexible screens, augmented reality, and other new areas. In the past year, vendors such as Huawei, Xiaomi, and LeEco developed phones with dual cameras, thin bezels, and digital headphone connectors well before many overseas vendors did. Bold experimentation is likely, even if such technologies might not immediately lead to higher shipments.

 


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ALTON Rues Vandalism, Others as Critical Infrastructures Suffer Attacks

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Association of Licensed Telecoms Operators of Nigeria (ALTON), has decried persistent challenges such as vandalism, high operating costs, and regulatory bottlenecks threatening service delivery despite recent improvements in investment inflows.

ALTON Rues Vandalism, Others as Critical Infrastructures Suffer Attacks

Gbenga Adebayo, chairman, ALTON, warned that the continuous attack are putting strains on Nigeria’s telecom sector which serve as the backbone of the country’s economic and digital systems,

Adebayo, speaking in an interview on ARISE News, described telecommunications as the critical foundation supporting all sectors of the economy.

“Telecom operators are the infrastructure of infrastructures that supports all other sectors,” he said, stressing that the industry remains central to power, transport, security, and financial services.

Adebayo noted that the recent 50% tariff adjustment has helped restore investor confidence in the sector after years of underinvestment.

“It has restored confidence in the sector… we are seeing investment, we are seeing now the impact of that investment,” he said, adding that the sector is now beginning to recover gradually.

But, he warned that improvements in service quality remain constrained by multiple external challenges, including vandalism, insecurity, and regulatory bottlenecks.

“Things can be better… but there are also other external factors… vandalism, behavior of public actors, behavior of non-state actors,” he explained.

Adebayo highlighted the scale of infrastructure damage, particularly on fibre networks, noting a major disparity between international and domestic connectivity routes.

“The fiber optic in the Atlantic… has witnessed probably one outage in two years… the one running from Lagos to Kano, we record an average of about 40 cuts a day,” he said.

He explained that such disruptions significantly increase operating costs and affect service quality across the country.

Beyond vandalism, he pointed to theft of telecom equipment such as batteries and generators, as well as security challenges that prevent timely restoration of services in some regions.

“Issue of security… people are stealing batteries, they’re stealing generators,” he said, noting that some areas remain inaccessible during outages until security conditions improve.

Adebayo also called for urgent reforms in right-of-way charges and taxation policies, arguing that telecom infrastructure should be treated as essential national infrastructure.

“Right of way should become free of charge across the country… issue of multiple taxation… it has to be a thing of the past,” he stated.

On rising energy costs, he said operators are gradually adopting hybrid and renewable energy solutions, although the transition is slow and still exposed to vandalism risks.

“We are doing a lot on renewable energy and providing hybrid solution… but that takes time,” he said.

Adebayo concluded that while policy support and investment inflows are improving the outlook of the sector, sustainable progress will depend on stronger protection of telecom infrastructure and coordinated action among government, regulators, and communities to address vandalism, insecurity, and regulatory inefficiencies.

 

 


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Uber Expands Beyond Rides, Launches Hotel Booking With Expedia

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Ride-hailing company Uber has introduced a new feature that allows users to book hotel rooms directly through its app, as part of its strategy to evolve into a broader lifestyle and services platform.

Uber announced that the hotel booking service is being launched in partnership with Expedia Group, giving users access to more than 700,000 hotel properties worldwide.

The company said the collaboration is also expected to expand in future to include short-term rental listings from Vrbo.

According to Uber, the hotel booking tool offers features similar to traditional online travel platforms, including destination search, maps, and filters based on pricing, amenities and guest ratings.

Users can also complete bookings using payment information already saved on the app.

Speaking during a presentation in New York City, Uber Chief Executive Officer, Dara Khosrowshahi, said the company was broadening its offerings beyond transportation and food delivery.

“We’re no longer just an app for rides, or even a family of apps for rides and eats. Uber is now an app for everything,” he said.

Chief Executive Officer of Expedia, Ariane Gorin, said the partnership was aimed at simplifying travel planning for users.

“Together, we can reduce the number of steps, save people time and money,” she said.

Uber’s latest move builds on its expansion strategy which began with the launch of Uber Eats in 2014.

Initially focused on food delivery, Uber Eats has since expanded into retail services, allowing customers to order products such as cosmetics, groceries and electronics.

Industry analysts say the development reflects the growing global trend toward “super apps” — digital platforms that combine multiple everyday services within one ecosystem.

This model is already widely adopted in markets such as China, where platforms like WeChat and Alipay integrate messaging, payments, travel bookings and e-commerce services.

Competitors are also broadening their offerings.

For instance, Airbnb has expanded beyond accommodation to include bookable local experiences, wellness services and mobility options.

Uber also disclosed plans to integrate more artificial intelligence-powered tools into its platform.

The company said upcoming features would enable users to plan meals, generate shopping lists and arrange deliveries through conversational prompts, while a voice assistant is also in development to support hands-free navigation within the app.


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FG Okays 112 as Toll-Free National Emergency Response Number

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National Economic Council (NEC) of Nigeria has officially approved 112 as the unified, toll-free national emergency number to streamline responses to security, medical, fire, and natural disasters.

FG Okays 112 as Toll-Free National Emergency Response Number

It is part of measures to strengthen Nigeria’s emergency lifeline and build a unified and coordinated national response to emergencies.

NEC also approved the establishment of a multi-agency implementation committee and programme coordination led by the Office of the Vice President and the National Communications Commission (NCC).

The approval was part of decisions taken at the 157th meeting of the NEC held virtually and chaired by Vice President Kashim Shettima.

Shettima said the 112 emergency lifeline had become necessary to prevent delay caused by bureaucratic bottlenecks, noting that what the citizens seek urgently when confronted by a natural disaster or insecurity is an urgent response and not bureaucracy.

“This is not only a technical reform. It is a test of the state’s humanity. In moments of fire, accident, robbery, medical emergency, flood, violence, or panic, citizens do not need bureaucracy.

“They need a response. They need to know one number to call, one system to trust, and one coordinated chain of action that moves quickly enough to save lives,” he stated.

He explained that while Nigeria is not beginning from zero, as the emergency number had been in existence, what is required at the moment “is coordination, adoption, standard operating procedures, public awareness, institutional ownership, and trust”.

The vice president described NEC as the nation’s economic engine room, where the federal government and the states must convert the Renewed Hope Agenda of President Bola Tinubu into practical outcomes.

 

 


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