Earlier this year, Apple had a tough time in China as the local economy started to shrink and smartphone demand collapsed. But with a month left until the iPhone 12 launch, some positive news has now been published.
The Chinese smartphone market is finally on the up
Investment bank JP Morgan revealed in a recent note to investors (via AppleInsider) that smartphone shipments in China rebounded month-over-month in August after three months of consecutive declines.
The report, which is based on new market data provided by the China Academy of Information and Communications Technology, points towards a total shipment volume of 26.9 million units in August 2020.
That's down 13% year-on-year but represents a big improvement over July, when shipments collapsed 35% compared to July 2019. Worth noting is the fact that 60% of smartphones sold in China last month supported 5G.
All of this bodes extremely well for Apple, who plans to launch the iPhone 12 and iPhone 12 Pro lineup with 5G support as standard, because the demand for 5G-ready products only continues to grow in the region.
The iPhone is performing well in China
Domestic Chinese smartphone manufacturers such as Huawei and Xiaomi accounted for 24.4 million shipments in August. That equates to an 18% month-over-month rise from 20.7 million units in July.
International brands, on the other hand, accounted for 2.5 million units in China throughout August, up 2 million from the 500,000 units shipped in February at the height of the pandemic.
That's an astonishing 56% jump over the previous month as well. According to JP Morgan, Apple's iPhone was the main reason for the spike, which puts the company in a brilliant position in the lead up to the iPhone 12.
Brands might soon be fighting over Huawei's customers
Another factor that could benefit Apple moving forward is the US government sanctions against Huawei. The latter will cease to receive components from major suppliers including Samsung, LG, and TSMC as soon as next week.
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Moving forward, the Chinese company will reportedly be surviving on stockpiled components, but the general consensus is that these will only keep it in business for 3-6 months.
If no solution is found, Apple and other rival brands could quickly eat up Huawei’s market share. In China, Huawei accounted for almost 50% of smartphone sales last quarter, so there’s a lot at stake.
Despite having scheduled a press event for Tuesday, September 15, Apple isn’t expected to announce the iPhone 12 series until October. It will consist of four devices complete with 5G support and several upgrades.
The 5G iPhone 12 series will consist of four models
The 5.4-inch iPhone 12 and 6.1-inch iPhone 12 Max, on the one hand, will act as the cheapest models in the lineup with rumored prices of $649 and $749 respectively. That should unlock access to a dual-camera system, OLED display, and the A14 Bionic chipset.
The 6.1-inch iPhone 12 Pro and 6.7-inch iPhone 12 Pro Max, on the other hand, are expected to take on premium devices like the Galaxy Note 20 Ultra and Huawei P40 Pro. Rumor has it they’ll retail at $999 and $1,099 in the United States.
As for features, a triple-camera system coupled with a LiDAR Scanner is on the cards and so is a 120Hz display with slimmer bezels. Apple also looks set to offer 128GB of storage as standard and the same A14 Bionic chipset.
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