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US vs China: Smartphone Wars

28 15 0
07.07.2019

If Washington’s goal was to pressure and isolate China by targeting smartphone giant Huawei, it seems to have accomplished the exact opposite. In the process, the US has only accomplished in exposing its own growing weakness and unreliability as a trade partner amid a much wider, misguided and mismanaged “trade war.”

While we’re only talking about smartphones and economic competition, however fierce, the outcome of this smartphone battle amid a much wider trade war will have an impact on global power and who wields it in the years to come.

Losing Ungracefully

By May 2019, Huawei had firmly climbed to the number two spot in global smartphone sales at the expense of US-based Apple. By the first quarter of 2019 it had shipped 59.1 million phones compared to Apple, now third place, at between 36-43 million phones, IDC (International Data Corporation) reported.

IDC and many other articles based on its data would note that while Huawei and Apple have traded places in the past over who held second place among global smartphone sales, Huawei’s ascension this time seemed much more permanent.

Those watching the trajectory and inner workings of both tech giants will have noticed Apple’s decline as endemic internal management problems coupled with growing global competition tattered its reputation and consumer appeal.

Was it just a coincidence that just as first quarter sales data emerged, the US announced one of its more dramatic turns amid its wider trade war with China? The Trump administration would announce a ban on all American-made goods to Huawei including microchips made by Intel and Qualcomm as well as the Android operating system (OS) made by US tech giant Google.

Coupled with this move was a public relations blitz across the US media and their partners working within nations moving closer to China. In Thailand, for example, local media trained and influenced by US interests attempted to undermine consumer confidence in Huawei in the wake of US sanctions against the company.

This one-two punch was a partial success. Sales did slump and Huawei was faced with significant obstacles. But significant obstacles are not the same as insurmountable obstacles, and overcoming obstacles is often how true competitors strengthen themselves.

What Doesn’t Kill You Makes You Stronger

For Huawei, a tech giant integral to China’s wider economic and political success upon the global stage, it has all the resources and support it needs to weather the........

© New Eastern Outlook