Despite the fact that Apple is faced with quite a bit of competition in China, the company continues to forge ahead.
If you recall correctly, Cook discussed the possibility of China becoming Apple Inc. (NASDAQ:AAPL)’s top market in the near future. While it doesn’t take a fortuneteller to realize that this region has the potential for a lot of growth, Cook should be commended for his outlook.
With all this in mind, it is time to take a closer look at a recent study completed by ABI Research: BRIC: Four of the Top Seven Smartphone Markets in 2018 as China Surpasses the US in 2013
As you can see, China is making big moves in the smartphone market. In fact, China is going to surpass the United States by the end of 2013. Many saw this coming, but may not have expected it so soon.
Here is an excerpt from the study:
“China will displace the US as the largest smartphone market in 2013. Brazil and India are also forecasted to be in the top four countries for smartphone shipments by 2018. Smartphone vendor interest and the strategies of the smartphone value chain are shifting accordingly.”
As you can see, it is not just China that is making moves. The smartphone market in Brazil and India are also on the rise.
It will be interesting to see if this prompts Apple Inc. (NASDAQ:AAPL) to announce a cheaper iPhone in the near future. It goes without saying that the company would have an easier time competing in China, as well as other emerging markets, such as India, with a low cost smartphone on its side.
The study goes on to add the following information, some of which will help develop Apple’s plan over the next five years:
“ABI Research forecasts that the top five countries in 2018 will account for 51% of worldwide smartphone shipments while the BRIC countries will account for 33% of smartphone shipments. By 2018, Western Europe and North Americas’ share of smartphone shipments will be 33% (equal to BRIC) down from 39% in 2013. It is clear that the growth of the smartphone market over the next five years will depend on operators and handset OEMs delivering optimized and price appropriate solutions to the BRIC consumers.”
Things are changing in the smartphone market, and companies such as Apple Inc. (NASDAQ:AAPL) will adjust accordingly.