US President Donal Trump signed an executive order a couple of months ago to put Chinese giant Huawei on the “Entity List”, effectively banning the US-based companies from doing any kind of business with Huawei.
The negative impact of the company’s clash with the US government is now coming out in the open. The latest market analysis reveals that the company’s growth has slowed down in the second quarter of this year.
As per the report, the company’s sales in Europe’s large market were down by 1.9 percent over Q1 and 9 percent down compared to the period of May to June. This is the duration when the impact of the ban was felt. However, the company still managed to achieve better results overall compared to Q2 2018.
Analysts believed that the negative press surrounding the company’s products because of the ban from the United States government is causing users to second guess their Huawei purchase. The report also adds that Samsung and Xiaomi are the ones that have benefited the most from this ban.
However, the positive quarter reporting for Huawei was achieved through its dominant performance in China. When combined with the sales of Honor devices, Huawei commanded an impressive 46.1 percent of the Chinese smartphone sales in Q2 of 2019.
Surprisingly, Motorola captured around 8.1 percent of the market share in Q2 2019 in the United States, thanks to the great performance of the Motorola E5 Play and the new Moto G6 Plus smartphones.
Also, the best-selling smartphone in the United States was the Apple iPhone XR, the most affordable offering from the three smartphones announced last year. This was followed by the iPhone 8 and iPhone XS Max. The fourth and fifth position was grabbed by the Samsung Galaxy S10 Plus and Galaxy S10.
While Huawei had faced very difficult times in the past couple of months, it seems that the company will be soon out of waters. The US Commerce Department will reportedly start issuing licenses to the US first to resume business with Huawei in the coming weeks.
(Source)
