The world’s largest smartphone manufacturer, Samsung, has had stiff competition with Huawei for the top spot in the global market. However, it seems like the US ban against the Chinese tech giant will benefit the South Korean vendor.
For those unaware, the US extended the ban on Huawei and its subsidiaries over various concerns data security. While the Chinese smartphone OEM has often denied any such accusations, it has had its operations troubled since the start of 2019 and even now. Recently, the US Commerce Department introduced new sanctions, which effectively cut off chip supply from TSMC to Huawei.
Back in 2019, Huawei had lost Google services support and now it has lost its major chip supplier as well. This could translate to an advantage for Samsung, as the market lost by Huawei could be more footing gained by the South Korean company. While this may not be applicable overall, especially in regions like China, Samsung can still gain market in European countries.
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According to an analyst from NH Investment & Securities, “Last year, Huawei’s market share went down because it could not use Google Mobile Services on its products amid the U.S-China trade war, but this time, it might face a production problem. As Huawei sees damage, Samsung’s smartphone business can expand.”
Interestingly, Samsung is also a major supplier of smartphone components like image sensors, OLED displays, and, soon, 5G modems for budget and mid level smartphone entries. So, even if it gains market standing in certain regions, the company can still lose out on orders from Huawei, that featured Samsung OLED displays and camera technology.
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(Via)
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