After spending two quarters in second place, research specialists Canalys report that Huawei moved past Oppo to recapture the lead in China’s smartphone market in Q1 2017.
The Chinese smartphone giant shipped close to 21 million units to secure an 18% market share. Despite strong annual growth of 55%, Oppo fell to second place with shipments of just under 20 million units. Third-placed Vivo had the lowest annual growth of the top three, capturing a 15% share with its shipment of 17 million units.
Xiaomi faces increasing pressure from Huawei’s online efforts with Honor, as well as Oppo and Vivo, whose marketing activities have been taking attention away from Xiaomi.
“To grow this year, Xiaomi will need to quickly switch from being a value-for-money vendor to become an aspirational brand,” said Canalys Research Analyst Mo Jia. “Xiaomi’s desire to move up the value chain in China will be an uphill struggle, considering Oppo and Vivo’s lead and Huawei’s plans to increase investment in its offline channel in 2017”.