Huawei bucks industry trend with year-on-year growth of 30.2% in 2016 to capture 10% of the global smartphone market

Beirut, February 21st, 2017

According to data released by leading analyst firms Strategy Analytics and Counterpoints Research, Huawei Consumer Business Group (CBG) became the third largest smartphone manufacturer by market share, commanding 10% of the total global market. Meanwhile，total worldwide smartphone shipments grew by 2.3% year-on-year in 2016, totaling 1.47 billion units. The Chinese market contributed a large part of this total figure, with 467 million mobile phones shipped for the year. Of the top five vendors, Samsung, Apple, Huawei, OPPO, and vivo, the three Chinese brands together account for almost 20% of the global market share. In total, Huawei shipped 139.3 million units in 2016, up 30.2% on 2015.

Despite the softening of the global smartphone market, Huawei's annual growth in shipments shows strong momentum and continues to perform above the industry average. Shipments grew from 75 million in 2014 to 108 million in 2015 and approximately140 million in 2016. This industry-defying growth has consolidated its position as the number three global vendor.

The spring and autumn release of the two flagship smartphones P9 and Mate9 – both equipped with industry-leading photographic functionality – secured strong results for Huawei in the fourth quarter of 2016. "Huawei was a rising star in December 2016, an important achievement for Chinese companies,” said Tina Lu, Senior Analyst at Counterpoint Research.

Huawei has modified its channel strategy, growing the total number of its offline service stores to more than 460, across 45 countries around the world. The company launched its “1,000-county plan” in China, aiming to set up shops in 1,000 counties across the country. Huawei has also established long-term and stable partnerships with thousands of distributors and retailers all over the world. The global public channel as a share of revenue increased to 71% in 2016, up 13 percentage points from 2015. The number of retailers offering Huawei devices across the world also increased to more than 70,000.

Huawei consolidated its position as one of the world’s three largest smartphone vendors thanks to distinct domestic and overseas strategies that have solidified its advantages in some regions, while opening new markets through its continuous innovation and efficient operations. “Huawei maintained third position with a record 10 percent global smartphone market share in Q4 2016, the first time the company has ever reached double figures. It was an impressive performance,” said Woody Oh, Director at Strategy Analytics. “Huawei’s overseas performance in markets like Western Europe is accelerating due to improved smartphone designs, more sophisticated marketing, and deeper retail distribution.”

Huawei has established its global brand through strategic marketing, infusing it with greater personality and moving away from the image of a pure technology brand. Through endorsements by global and regional stars, as well as sports sponsorships and product placement, Huawei's brand image and reputation have become more recognized by an ever-increasing audience.

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About Huawei Consumer Business Group (CBG): 
Huawei Consumer Business Group (CBG) is one of Huawei's three business groups, providing a range of products including mobile phones, mobile broadband (MBB) devices and home devices. Huawei’s products and services are available in more than 170 countries, and are used by a third of the world’s population, ranking third in the world in mobile phone shipments in 2016.

As a leading technology company, Huawei invests a significant amount of its annual sales revenue to research and development efforts, and has established 16 research centers around the world. Among these facilities is the Huawei Aesthetics Research Center in Paris, where French luxury brands work with Huawei’s engineers to align technology with future fashion trends. Huawei’s newest R&D center is the Max Berek Innovation Lab in Wetzler, Germany, where Huawei and Leica are jointly researching technologies to improve mobile device camera and image quality. Huawei also has more than 10 open labs in China, Europe and other locations, where it works with more than 600 partners. 

In 2016, Huawei ranked 72 on the Interbrand’s 2016 Best Global Brands report. The company has seen continuously risen on Interbrand’s list after it became the first mainland Chinese brand to be recognized as a 'Best Global Brand' in 2014. 

Huawei CBG shares its vision with people who pursue their dreams, people who are visionary challengers, people who are proactive with a strong belief in striving to achieve their goals. Huawei is dedicated to bringing the latest technology to consumers and creating extraordinary experiences for people everywhere.

For more information please visit: http://consumer.huawei.com/ae-en/

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© Press Release 2017