On May 18, Nikkei Asia reported that after more than a month of lockdown, China's leading smartphone manufacturers have told suppliers that orders will be reduced by about 20% compared with previous plans in the next few quarters.
People familiar with the matter said Xiaomi has told suppliers that it will reduce its full-year forecast from its previous target of 200 million units to about 160 million to 180 million units. Xiaomi shipped 191 million smartphones last year and aims to become the world's leading smartphone manufacturer. However, as it continues to monitor supply chain conditions and consumer demand in the domestic market, the company may adjust orders again in the future.
AUO has developed a "miniature glass NFC tag", which integrates an electroplating copper antenna and a TFT IC on a glass substrate through a one-stop manufacturing process. Through a high degree of heterogeneous integration technology, the tag is embedded in high-priced products such as wine bottles and medicine cans. The product information can be obtained by scanning with the mobile phone, which can effectively prevent the rampant counterfeit goods and protect the rights and interests of brand owners and consumers.
In addition, suppliers revealed that Vivo and OPPO also reduced orders this quarter and next quarter by about 20% in an attempt to absorb the excess inventory currently flooding the retail channel. The sources said Vivo even warned some vendors that they would not update the key component specifications of some mid-range smartphone models this year, citing efforts to reduce costs amid inflation concerns and reduced demand.
However, sources said that China's former huawei subsidiary Honor has not yet revised the order plan of 70 million to 80 million units this year. The smartphone maker recently regained its domestic market share and is actively trying to expand overseas in 2022.
The report pointed out that Xiaomi, OPPO and Vivo have all benefited from the US crackdown on Huawei. According to IDC, Xiaomi climbed to the world's third-largest smartphone maker for the first time last year, with a market share of 14.1 percent, compared to 9.2 percent in 2019. In the second quarter of last year, it even surpassed Apple to become the second largest smartphone manufacturer in the world.
But that tailwind seems to be fading. In the first three months of this year, although Xiaomi is still the third in the world, its shipments have dropped by 18% year-on-year. At the same time, OPPO and Vivo shipments fell by 27% and 28% year-on-year, respectively. In the domestic market, Xiaomi fell from third to fifth place in the quarter.
Post time: May-30-2022