Strong competition in the mobile phone market

The world of mobile telephony is one of the largest and most competitive, with dozens of manufacturers that produce hundreds of cell phones to supply the tastes and needs of the world population. Strong competition in the mobile phone market.

From basic or entry-level phones to low, medium and high-end phones, it is estimated that more than 90 percent of the planet’s inhabitants have a cell phone.

At the time, it led the Nokia brand – a Finnish company that is now trying to recover as a communications and technology multinational – but the panorama of smartphone manufacturers (which combines the functions of a cell phone and a computer or pocket PC ) is now very varied.

Strong competition in the mobile phone market

Nokia maintains its production and has already made several attempts to get back to the top, but without success. At the moment there are many more winners in the different markets of the sector, in which another 16 companies stand out. The multinationals Samsung and LG (based in South Korea) stand out; Apple, Microsoft and Motorola (United States); Xiaomi, Huawei, Lenovo, HTC, Asus, ZTE, Meizu and Oppo (China), Sony (Japan), BlackBerry (Canada) and Lanix (Mexico).

Undoubtedly, the number one is the South Korean Samsung, despite the blunders of exploded batteries and other surprises at the time. Thanks to a fleet of phones with specifications, sizes and prices as varied as the tastes of the public, it became the most important brand in the world.

Founded in 1938, since 2012 it has become a leader in the cell phone market, and has also transformed Android into the most widely used mobile operating system in the world. In 2014, Samsung already had a global market share of 32 percent.

However, the transnational faces stiff competition from companies such as Xiaomi, LG and Apple, and has a decline in sales that calls into question whether it will be able to maintain its position as the world’s leading telephone company for years to come.

Second place belongs to Apple, which created a technological revolution with the introduction of the iPhone.

This Cupertino California-based company, founded in 1976 and a manufacturer of computers, launched its own phone in mid-2007. It was called the iPhone and was named by Time magazine as the invention of the year.

Since then, it has shown a total of 10 smartphones (smart phones) and each one has done its bit in the mobile phone market. Before Apple, electronics companies had no interest in building full-touchscreen phones, which are now the world’s standard.

And then a powerful Chinese firm, Xiaomi, came to the battle, which went from being an unknown to becoming the third largest cell phone brand in the world. Founded in 2010, in just five years it was transformed and became the main threat to Samsung in the Asian giant, where it dominated the sector.

With cheap phones and good build quality, like the Red Rice released in 2013 at a price of $130, the outstanding Mi4 from 2014, and the affordable Redmi 2 from 2015, Xiaomi is currently the most valuable startup in the world, and It surpasses even the Pinterest platform.

It was born in China, focused on eight Asian countries to position its cell phones and then began its expansion to other nations such as Russia, Turkey and Mexico. The United States is his next goal, a country dominated by Apple and Samsung.

The list, ordered in terms of importance in the market, has another Chinese company, Huawei, as the fourth firm with the most cell phone sales in the world, behind Samsung, Apple and Xiaomi, and surpassing Lenovo and LG.

Its main markets are Asia and Africa, although Latin America is also becoming an important area for the multinational, where it increased its smartphone sales.

The fifth position is occupied by another Chinese transnational, Lenovo, which in 2014 bought Motorola; that Hong Kong-founded company, the world’s number one maker of computers, also makes its own blockbuster phones.

Recently Realme, also Chinese, stands out with powerful devices to attract the attention of customers.

The novelties are many and varied, the potentialities of the telephones go from the simple act of calling to being used as a computer in the hand; the market will henceforth have firsts and other companies to watch out for.

Barrier for Chinese companies

In this framework, the pressures of the United States against rising Chinese companies are significant, as part of the efforts to curb the development of the Asian nation, according to analysts of this type of market.

In this regard, last March the Secretary of Commerce of the United States, Gina Raimondo, warned in an interview with the New York Times that Chinese companies should take into account what happened to Huawei, alluding to the well-known sanctions on that significant company.

Raimondo on this occasion referred to the main chip manufacturer in China, SMIC (Semiconductor Manifacturing International Corporation), since its sales to Russia could lead the United States to close that firm.

This, due to the impact of the war in Russia and Ukraine, and the Western sanctions on Moscow, which, however, have a crude boomerang for those who impose them, which is seen above all in the matter of gas and oil.

Since sanctions from Washington, Huawei’s revenues are down nearly 30 percent, and it has had to ditch its x86 server division and divest itself of the Honor brand.

In addition, its mobile models practically disappeared from device sales in Europe and the United States. It also doesn’t have an easy time finding alternatives for many of its consumer devices based on proprietary software and processor-based designs from ARM (Simplified Processing Method That Consumes Less Power).

The United States Department of Commerce added 38 subsidiaries of this Chinese company in 21 countries to a list of entities that were prohibited from receiving certain technologies

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