Although the decline in China’s smartphone shipments was 9.7%,iPhoneShipments fell by nearly 20%. A report released by IDC on Monday showed that Apple's shipments in China fell by 19.9% in the fourth quarter, but its ranking in smartphone shipments rose from fifth to fourth.
IDC believes that while the Chinese smartphone market is shrinking, Apple is not aware of the problems caused by pushing up the iPhone price. Analysts said Apple CEO Cook may have masked the company's strategic mistakes in China's world's largest smartphone market and the impact of fierce competition from fast-growing Chinese Android phone makers.
Apple's latest iPhone faces serious challenges from Chinese branded phones, which are priced at half or one-third of Apple's. IDC said: "The imbalance between the increasingly severe domestic market environment and the high pricing of Apple products has led to a decline in iPhone shipments in the Chinese market."
Some analysts have suggested that the iPhone SE 2 will be a good solution. There are rumors that Apple has rejected the plan, but the bad holiday quarter results led to speculation that the company may have to reconsider launching the second-generation iPhone. SE. Some former Apple executives even believe that Apple needs to launch an iPhone specifically for the Chinese market to boost iPhone sales in the market.