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Apple Launches Rare iPhone Discounts in China to Counter Local Competition

Apple is offering limited-time discounts of up to 500 yuan ($68.50) on its latest iPhone models in China, aiming to bolster its market share amid intensifying competition from domestic rivals like Huawei. The four-day promotion, running from January 4 to January 7, includes discounts on several iPhone models when purchased with specific payment methods.

The flagship iPhone 16 Pro and iPhone 16 Pro Max, priced at 7,999 yuan and 9,999 yuan, respectively, will see the largest discounts of 500 yuan. Meanwhile, the iPhone 16 and iPhone 16 Plus will receive a 400 yuan reduction.

Intensified Competition and Economic Pressures

The price cuts come at a time when consumer spending in China is cautious, impacted by the country’s slowing economy and deflationary pressures, with consumer inflation hitting a five-month low in November.

Apple has faced declining market share in China, the world’s largest smartphone market, where local manufacturers have stepped up their game. Huawei has been a particularly strong competitor, re-entering the premium smartphone market in August 2023 with locally-made chipsets. Huawei also slashed prices of its high-end devices, including smartphones, by up to 3,000 yuan over a recent weekend sale on one of China’s major e-commerce platforms.

Apple’s Struggles and Recovery

Apple briefly fell out of China’s top five smartphone vendors in Q2 2024, although it managed to recover by Q3. However, its smartphone sales in the region still declined by 0.3% year-over-year in Q3, while Huawei’s sales surged by 42%, according to research firm IDC.

In addition to iPhones, the promotion also offers discounts of 200 to 300 yuan on older iPhone models, as well as reductions on MacBook laptops and iPad tablets. Customers must use designated payment methods such as WeChat Pay or Alipay to qualify for the discounts.

 

Apple Faces Mounting Challenges as Foreign Smartphone Sales Plummet in China

Foreign-branded smartphone shipments to China, including Apple’s iPhone, plunged 47.4% in November compared to the same period last year, according to data from the China Academy of Information and Communications Technology (CAICT). This marks the fourth consecutive month of decline, with shipments falling to 3.04 million units from 5.769 million units in November 2023.

The downward trend, which also saw a 44.25% year-on-year drop in October, reflects challenges faced by foreign brands in the world’s largest smartphone market. Apple, the leading foreign smartphone maker in China, has struggled amid a slowing economy and stiff competition from domestic brands like Huawei.

Economic Challenges and Consumer Behavior

China’s economic slowdown and deflationary pressures have dampened consumer spending. In November, Chinese consumer prices hit their lowest level in five months, compounding uncertainty in the market. This economic backdrop has contributed to declining market share for foreign brands, including Apple.

In an effort to counter the trend, Apple launched a rare four-day promotion in China, offering discounts of up to 500 yuan ($68.50) on its flagship models. The move aims to spur sales as Apple faces increasing pressure from competitors.

Huawei’s Resurgence

Since re-entering the premium smartphone market in August 2023 with locally developed chipsets, Huawei has gained significant ground. In the third quarter of 2024, Huawei’s smartphone sales in China surged by 42% year-on-year, while Apple’s sales slipped by 0.3%, according to research firm IDC.

Apple briefly dropped out of China’s top five smartphone vendors during the second quarter of 2024 but regained its position in the third quarter. However, the company continues to lose ground to Huawei, which has emerged as a formidable competitor in the premium segment.

Broader Smartphone Market Trends

Shipments of all phones within China, including domestic brands, declined by 5.1% year-on-year in November, totaling 29.61 million handsets. The decline underscores broader challenges in the Chinese smartphone market, where domestic brands are better positioned to weather economic headwinds than their foreign counterparts.

Apple’s ability to maintain its market presence in China is crucial, as the country remains a key market for the company. However, the ongoing economic challenges and Huawei’s resurgence present significant hurdles that Apple must navigate to sustain growth in the region.

 

Huawei Teases Mate X6 Ahead of Global Launch Event on December 12

Huawei’s Mate X6, a book-style foldable smartphone, was officially launched in China in November, marking the company’s latest step in the foldable phone market. The device features an impressive 7.93-inch inner OLED display and a 6.45-inch quad-curved OLED cover screen, both offering a smooth and vibrant viewing experience. For durability, the Collector’s Edition of the Mate X6 comes with second-generation basalt-tempered Kunlun glass, providing enhanced protection. The phone is also expected to come with Huawei’s latest in-house Kirin 9100 chipset, coupled with 5,110mAh battery that supports 66W wired and 50W wireless fast charging.

Huawei has now confirmed the global launch date for the Mate X6, which will be revealed at an exclusive event in Dubai on December 12. While the company has not explicitly stated which products will be unveiled, the use of the hashtag #UnfoldtheClassic strongly suggests that the Mate X6 will be the focus of the event. This global launch will introduce the foldable device to markets outside of China, expanding its reach and potentially increasing its appeal to global consumers.

In terms of specifications, the Huawei Mate X6 boasts a 7.93-inch primary OLED screen with a resolution of 2,440×2,240 pixels and a 6.45-inch cover display with a resolution of 1,080×2,440 pixels. Both displays feature a 120Hz refresh rate and 1,440Hz high-frequency PWM dimming for better visual performance. For users concerned about durability, the phone’s Kunlun glass protection ensures added resistance to drops and scratches. As for the internals, the Mate X6 is expected to be powered by the Kirin 9100 chipset, with configurations offering up to 16GB of RAM and up to 1TB of internal storage. The device runs on HarmonyOS 4.3, providing an integrated ecosystem experience across Huawei devices.

This launch also signals Huawei’s continued push into the high-end smartphone market with foldable devices, following the success of earlier models like the Mate X2. The combination of cutting-edge design, premium specifications, and the potential for faster charging and long-lasting battery life could make the Huawei Mate X6 a significant competitor in the global foldable smartphone space. Whether it can rival other industry leaders in the segment will become clearer after its December 12 reveal.