Guess which brands overtook Samsung as the top phone vendor in China and India

Guess which brands overtook Samsung as the top phone vendor in China and India

 Image source: AFP

Things haven't been going smoothly for Samsung these days. The latest research reports revealed that Samsung lost its top spot for the first time in China and India last quarter.

According to a report by Counterpoint Technology Market Research, five-year-old Indian consumer electronics company Micromax dethroned Samsung as the top phone vendor in the Indian market. Micromax managed to capture 17% of the smartphone market compared to Samsung's 14%. That is an increase of 3% from Q1 2014.

Another brand also ceded its top position; for the first time, Nokia was replaced by Micromax as the leading feature phone supplier. In terms of global phone shipment numbers, Micromax made it to the top ten rankings.

On the other side of the McMahon line, Samsung also lost its top spot in the Chinese market to four-year-old Chinese company Xiaomi. Based on shipment figures from market research firm Canalys, Xiaomi topped the Q2 smartphone shipment rankings with 14% market share while Samsung dropped from 18.3% in the previous quarter to 12%. It is noteworthy to mention that Lenovo and Yulong also garnered 12% market share each.

A Canalys analyst told The Wall Street Journal that the popularity and roaring sales of Xiaomi's smartphones gave the Chinese company an extra boost to take over Samsung in Q2. It is not actually a surprise; Xiaomi announced in July that the company shipped 10 million units of the Mi 3. Earlier in April, it managed to sell 1.3 million phones during a 12-hour sale marathon across China, Hong Kong, Taiwan and Singapore.

Samsung's list of problems seems to be growing. It was sued by Microsoft last Friday for failing to pay royalties on time. A month ago, the company warned investors of a massive profit decline, Its estimates turned out to be true as Samsung experienced its first year-over-year drop in net profit in almost three years, which forced a senior executive to reveal the company's comeback strategy for the next few months to reassure investors. In May, Samsung was ordered by the jury to pay Apple US$120 million in damages for patent infringement.

Would the upcoming launch of the Galaxy Alpha and Galaxy Note 4 address some of the issues above? Only time will tell.

Sources: Counterpoint Technology Market Research, Canalys via The Wall Street Journal (1) (2)

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