Huawei exits the low-end market, claims the Mate 10 to be better than iPhone 8
Richard Yu, head of Huawei's consumer division, told Bloomberg that the company is giving up on the very low-end devices and that the upcoming Mate 10 phone will be more powerful than the iPhone 8.
The Huawei Mate 9.
Huawei is revamping its market strategy and remains confident that its upcoming Mate 10 phone will be better than the iPhone 8.
In an interview with Bloomberg, Richard Yu, chief of Huawei's consumer division, shared that the company will not target the very low-end market segment and instead focus on its overseas expansion into other more developed markets.
“We are giving up the very low-end devices because the margin in this is extremely low, and it’s not making enough profit for us,” Yu said. Huawei also intends to sustain the pace of an overseas expansion that’s already taken it into Europe and other more developed markets. “The priority is Europe, China and Japan, where the economy is healthy and people are able to consume them.”
Its upcoming Mate 10 phone is expected to be unveiled in the same time period as Apple's iPhone 8, but Yu remains confident of his own product. In fact, Yu claims that the Mate 10 is superior to the iPhone in many areas.
“We will have an even more powerful product,” Yu said in an interview. “The Mate 10, which has much longer battery life with a full-screen display, quicker changing speed, better photographing capability and many other features that will help us compete with Apple.”
The Chinese company is forced to revamp its market strategy after it reported a sharp fall in revenue growth in the first half of 2017 as smartphones sales fell. Huawei aims to ship between 140 to 150 million units this year. With a strong company culture, we reckon that Huawei is able to meet its goal.
Source: Bloomberg
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