China’s Realme Entering Europe’s High-End Smartphone Market, To Launch New Handsets  

Realme’s CEO has said that the company will enter the European market of high-end smartphones next month with its most expensive gadget yet, as part of a plan to grow apart from its budget offerings and sell 50 per cent more smartphones globally this year.

Following stepped-up US restrictions that hampered Huawei Technologies’ (HWT.UL) supply chains and caused it to withdraw, the Shenzhen-based company is one of several Chinese handset makers that have been aggressively pursuing global market share.

Realme’s premium GT 2 Pro phone will go on sale in Europe in February for $700-$800, according to founder and CEO Sky Li.

This is nearly double the suggested price of the GT Master Edition, which is presently available on Amazon for 349 euros ($395), and comparable to other high-end phones from market heavyweights Apple and Samsung.

“We think it’s a very important, market, and a big market for high-end phones,” Li said.

With the pandemic hurting economic circumstances, demand for smartphones is weak, and people are delaying upgrades, but Li believes that Realme, as the world’s fastest-growing smartphone firm, can buck the trend.

According to Counterpoint Research, Europe’s smartphone market earned $80.65 billion in revenue in the first 11 months of 2021, with high-end smartphones accounting for $55.56 billion of that.

“Almost all of the growth is driven by the high-end, which can be attributed mainly to the successful premium models of Apple and Samsung,” Counterpoint senior analyst Yang Wang said.

According to Counterpoint, last quarter, Europe’s best-selling manufacturer was Apple, with iPhone 13 prices starting at roughly $850. Samsung and Xiaomi were second and third, with phones priced at around $900 and $700, respectively.

In terms of smartphone revenues, data from analyst IDC shows that the European market was equivalent to the United States in the first three quarters of 2021, but fell behind China.

According to Counterpoint, Realme, which was spun off from fellow Chinese smartphone maker Oppo in 2018, was the world’s sixth-largest smartphone seller as of the end of September, with high sales in India, Southeast Asia, and Eastern Europe.

BBK Electronics, a Shenzhen-based company, is where Realme, Oppo, and other rivals Vivo and Oneplus got their start.

Because it is one of the first phones to arrive with Qualcomm’s new flagship Snapdragon 8gen1 processor, which promises improved speed and power efficiency, Li believes the G2 Pro phone will appeal to European users.

According to Li, Realme sold 60 million devices globally in 2021 and expects to sell 90 million this year and above 100 million in 2023.

Over the last year, the company, like its peers, has been impacted by chip shortages, but Li believes that these issues will be resolved by the second half of 2022.

While competitors such as Oppo, Vivo, and Xiaomi are diversifying into processors and electric vehicles, Li stated that Realme will remain focused on phones, “with no other thoughts or diversions.”

“It’s not easy to survive in an industry so full of experts, so we mustn’t do things beyond our ability,” he said.

(Adapted from TechNewsBoys.com)



Categories: Economy & Finance, Entrepreneurship, Geopolitics, Strategy, Sustainability

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