Mobile phone makers Nokia, Apple and Motorola are fighting it out with local Chinese phone makers such as Huawei for a slice of the world's fastest-growing smartphone market.
"The Chinese market offers a huge potential for growth. In the first quarter of this year alone, 72 million mobile phones were shipped in China. Only about 22 per cent of these were smartphones, representing a massive growth opportunity for smartphone vendors," says Daryl Chiam, an analyst based in Singapore with the research firm Canalys.
According to Canalys, China is the world's second-largest smartphone market, after the US and ahead of the UK and Japan.
In the first three months of this year, more than 15.8 million smartphones were shipped to China. This represents growth of almost 150 per cent compared with the same period last year.
For Nokia, Apple and Motorola, the Chinese market is increasingly crucial.
Canalys reports that for this year's first quarter, Nokia was the leading smartphone maker in China with 56 per cent of the market and Apple number two at 9 per cent. China is already the second-largest market for Motorola, which has a 7 per cent market share.
However, western manufacturers are facing growing competition with local Chinese phone makers such as Huawei and ZTE, who are catching up fast.
Huawei is now the number three smartphone maker after Nokia and Apple in China as a result of the popularity of phones such as the C8500.
Western manufacturers have little choice but to do battle with Chinese phone makers.
"With markets such as the US and Europe quickly maturing in terms of smartphone penetration, mobile phone makers are now increasingly making China the crucial pillar of their long-term business strategies," says Mr Chiam.
The Chinese smartphone market is wide open to foreign phone makers. Unlike more mature mobile phone markets, distribution is left to the free market. All across China, shops and stalls sell a variety of mobile phones over the counter.
"China is still a predominantly prepay market where phones are sold commonly through open distribution channels," says Mr Chiam.
"Phone vendors rely on distribution partners such as retailers and resellers to sell their products rather than being forced to go through mobile network operators.
"[But] major players still enlist Chinese operators to help sell their products. For example, Apple has signed an agreement with China Unicom for the iPhone."
Tim Shepherd, a Canalys analyst, says that while the vast majority of Chinese mobile users still use less sophisticated feature phones, many Chinese consumers are showing themselves to be eager to switch to smartphones for improved internet browsing, social networking and gaming. "It is a market with huge growth potential, particularly for competitively priced smartphones."
Despite the rapid expansion of the Chinese smartphone market, growth has been concentrated in urban centres, such as Shanghai and Beijing. Hundreds of millions of consumers across the vast hinterlands of rural China struggle to afford even basic handsets.
"Wealthy business people in urban centres own the most sophisticated smartphones, while farmers in rural areas rely on black-and-white, text-based screens to communicate with one another and learn English," says Julie Ask, an analyst at the international research company Forrester.
China is also home to some of the world's most skilled counterfeiters. Shanzai, or "bandit", phones have already swept the smartphone market.
In addition to straightforward counterfeit smartphones, some shanzai manufacturers have managed to establish a reputation for innovation, much to the anger of phone makers such as Nokia.
The shanzai phone makers manage to produce small product runs to test the market for new phones, cutting the traditional nine to 12-month industry product cycle down to three months.
According to the research firm IHS iSuppli, overall unofficially traded handset shipments will grow to 255 million units this year and then begin to decline to 213 million units next year. Several factors are thought to account for the coming decline in the shipment of grey-market smartphones. These include a serious crackdown on counterfeit mobile phones and stronger supervision by the government of all grey-market handsets. Other factors include concern from customers about the quality and after-sales services of the bandit handsets.
But IHS iSuppli also believes that dominant local players such as ZTE and Huawei are grabbing market share away from the illegal suppliers.
The gradual demise of counterfeit products as the market matures would be excellent news for western manufacturers, who have a huge interest in legitimising the Chinese market.
As China becomes an increasingly important market, its tastes will play a growing role in shaping the design and functionality of future smartphones.
business@thenational.ae
UAE currency: the story behind the money in your pockets
Martin Sabbagh profile
Job: CEO JCDecaux Middle East
In the role: Since January 2015
Lives: In the UAE
Background: M&A, investment banking
Studied: Corporate finance
The specs
Engine: 3.0-litre six-cylinder turbo
Power: 398hp from 5,250rpm
Torque: 580Nm at 1,900-4,800rpm
Transmission: Eight-speed auto
Fuel economy, combined: 6.5L/100km
On sale: December
Price: From Dh330,000 (estimate)
The biog
Name: Timothy Husband
Nationality: New Zealand
Education: Degree in zoology at The University of Sydney
Favourite book: Lemurs of Madagascar by Russell A Mittermeier
Favourite music: Billy Joel
Weekends and holidays: Talking about animals or visiting his farm in Australia
Three ways to get a gratitude glow
By committing to at least one of these daily, you can bring more gratitude into your life, says Ong.
- During your morning skincare routine, name five things you are thankful for about yourself.
- As you finish your skincare routine, look yourself in the eye and speak an affirmation, such as: “I am grateful for every part of me, including my ability to take care of my skin.”
- In the evening, take some deep breaths, notice how your skin feels, and listen for what your skin is grateful for.
Smart words at Make Smart Cool
Make Smart Cool is not your usual festival. Dubbed “edutainment” by organisers Najahi Events, Make Smart Cool aims to inspire its youthful target audience through a mix of interactive presentation by social media influencers and a concert finale featuring Example with DJ Wire. Here are some of the speakers sharing their inspiration and experiences on the night.
Prince Ea
With his social media videos accumulating more half a billion views, the American motivational speaker is hot on the college circuit in the US, with talks that focus on the many ways to generate passion and motivation when it comes to learning.
Khalid Al Ameri
The Emirati columnist and presenter is much loved by local youth, with writings and presentations about education, entrepreneurship and family balance. His lectures on career and personal development are sought after by the education and business sector.
Ben Ouattara
Born to an Ivorian father and German mother, the Dubai-based fitness instructor and motivational speaker is all about conquering fears and insecurities. His talk focuses on the need to gain emotional and physical fitness when facing life’s challenges. As well managing his film production company, Ouattara is one of the official ambassadors of Dubai Expo2020.
Ammar 808:
Maghreb United
Sofyann Ben Youssef
Glitterbeat
Scoreline
Abu Dhabi Harlequins 17
Jebel Ali Dragons 20
Harlequins Tries: Kinivilliame, Stevenson; Cons: Stevenson 2; Pen: Stevenson
Dragons Tries: Naisau, Fourie; Cons: Love 2; Pens: Love 2
COMPANY PROFILE
Name: Kumulus Water
Started: 2021
Founders: Iheb Triki and Mohamed Ali Abid
Based: Tunisia
Sector: Water technology
Number of staff: 22
Investment raised: $4 million
Day 5, Abu Dhabi Test: At a glance
Moment of the day When Dilruwan Perera dismissed Yasir Shah to end Pakistan’s limp resistance, the Sri Lankans charged around the field with the fevered delirium of a side not used to winning. Trouble was, they had not. The delivery was deemed a no ball. Sri Lanka had a nervy wait, but it was merely a stay of execution for the beleaguered hosts.
Stat of the day – 5 Pakistan have lost all 10 wickets on the fifth day of a Test five times since the start of 2016. It is an alarming departure for a side who had apparently erased regular collapses from their resume. “The only thing I can say, it’s not a mitigating excuse at all, but that’s a young batting line up, obviously trying to find their way,” said Mickey Arthur, Pakistan’s coach.
The verdict Test matches in the UAE are known for speeding up on the last two days, but this was extreme. The first two innings of this Test took 11 sessions to complete. The remaining two were done in less than four. The nature of Pakistan’s capitulation at the end showed just how difficult the transition is going to be in the post Misbah-ul-Haq era.
Other must-tries
Tomato and walnut salad
A lesson in simple, seasonal eating. Wedges of tomato, chunks of cucumber, thinly sliced red onion, coriander or parsley leaves, and perhaps some fresh dill are drizzled with a crushed walnut and garlic dressing. Do consider yourself warned: if you eat this salad in Georgia during the summer months, the tomatoes will be so ripe and flavourful that every tomato you eat from that day forth will taste lacklustre in comparison.
Badrijani nigvzit
A delicious vegetarian snack or starter. It consists of thinly sliced, fried then cooled aubergine smothered with a thick and creamy walnut sauce and folded or rolled. Take note, even though it seems like you should be able to pick these morsels up with your hands, they’re not as durable as they look. A knife and fork is the way to go.
Pkhali
This healthy little dish (a nice antidote to the khachapuri) is usually made with steamed then chopped cabbage, spinach, beetroot or green beans, combined with walnuts, garlic and herbs to make a vegetable pâté or paste. The mix is then often formed into rounds, chilled in the fridge and topped with pomegranate seeds before being served.
ASHES FIXTURES
1st Test: Brisbane, Nov 23-27
2nd Test: Adelaide, Dec 2-6
3rd Test: Perth, Dec 14-18
4th Test: Melbourne, Dec 26-30
5th Test: Sydney, Jan 4-8
UAE currency: the story behind the money in your pockets
Normal People
Sally Rooney, Faber & Faber
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Du Plessis plans his retirement
South Africa captain Faf du Plessis said on Friday the Twenty20 World Cup in Australia in two years' time will be his last.
Du Plessis, 34, who has led his country in two World T20 campaigns, in 2014 and 2016, is keen to play a third but will then step aside.
"The T20 World Cup in 2020 is something I'm really looking forward to. I think right now that will probably be the last tournament for me," he said in Brisbane ahead of a one-off T20 against Australia on Saturday.
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Test series fixtures
(All matches start at 2pm UAE)
1st Test Lord's, London from Thursday to Monday
2nd Test Nottingham from July 14-18
3rd Test The Oval, London from July 27-31
4th Test Manchester from August 4-8
TOUCH RULES
Touch is derived from rugby league. Teams consist of up to 14 players with a maximum of six on the field at any time.
Teams can make as many substitutions as they want during the 40 minute matches.
Similar to rugby league, the attacking team has six attempts - or touches - before possession changes over.
A touch is any contact between the player with the ball and a defender, and must be with minimum force.
After a touch the player performs a “roll-ball” - similar to the play-the-ball in league - stepping over or rolling the ball between the feet.
At the roll-ball, the defenders have to retreat a minimum of five metres.
A touchdown is scored when an attacking player places the ball on or over the score-line.
Frankenstein in Baghdad
Ahmed Saadawi
Penguin Press
The specs: 2017 Maserati Quattroporte
Price, base / as tested Dh389,000 / Dh559,000
Engine 3.0L twin-turbo V8
Transmission Eight-speed automatic
Power 530hp @ 6,800rpm
Torque 650Nm @ 2,000 rpm
Fuel economy, combined 10.7L / 100km
Roger Federer's 2018 record
Australian Open Champion
Rotterdam Champion
Indian Wells Runner-up
Miami Second round
Stuttgart Champion
Halle Runner-up
Wimbledon Quarter-finals
Cincinnati Runner-up
US Open Fourth round
Shanghai Semi-finals
Basel Champion
Paris Masters Semi-finals
UPI facts
More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions
The%20Last%20White%20Man
%3Cp%3EAuthor%3A%20Mohsin%20Hamid%C2%A0%3C%2Fp%3E%0A%3Cp%3E192%20pages%C2%A0%3C%2Fp%3E%0A%3Cp%3EPublished%20by%3A%20Hamish%20Hamilton%20(UK)%2C%20Riverhead%20Books%20(US)%3C%2Fp%3E%0A%3Cp%3ERelease%20date%3A%20out%20now%20in%20the%20US%2C%20August%2011%20(UK)%3C%2Fp%3E%0A
A State of Passion
Directors: Carol Mansour and Muna Khalidi
Stars: Dr Ghassan Abu-Sittah
Rating: 4/5
UAE currency: the story behind the money in your pockets
Scores in brief:
Boost Defenders 205-5 in 20 overs
(Colin Ingram 84 not out, Cameron Delport 36, William Somerville 2-28)
bt Auckland Aces 170 for 5 in 20 overs
(Rob O’Donnell 67 not out, Kyle Abbott 3-21).
UAE Rugby finals day
Games being played at The Sevens, Dubai
2pm, UAE Conference final
Dubai Tigers v Al Ain Amblers
4pm, UAE Premiership final
Abu Dhabi Harlequins v Jebel Ali Dragons
