Copycat handset sales set to peak
By Zhu Shenshen |
July 16, 2011, Saturday
|
Print Edition
Print Edition
SALES of copycat handsets are expected to peak this year in China but will decrease in the next several years, research firm IHS iSuppli said yesterday.
The factors accounting for the decline include strong regulation from the government and the popularity of entry-level smartphones, which will likely grab market share from copycat phones, also known as shanzhai models, industry insiders said.
"End customers are concerned about quality and after-sales services of copycat handsets," Kevin Wang, research director at US-based iSuppli, said in a note. "Existing (shanzhai) players also may leave the smartphone market altogether to seek greater opportunities in other consumer electronic sectors, such as tablets."
Global sales of gray-market handsets is projected to expand to 255 million units this year and then decline to 213 million units in 2012, according to iSuppli.
Generally, gray-market phones, mostly made in Shenzhen and other cities in south China, feature copycat designs and super-low prices of less than US$100. Most are not brand names and have no after-sales service.
Smartphones, which feature an operating system like Google's Android, are gaining market share in China.
The factors accounting for the decline include strong regulation from the government and the popularity of entry-level smartphones, which will likely grab market share from copycat phones, also known as shanzhai models, industry insiders said.
"End customers are concerned about quality and after-sales services of copycat handsets," Kevin Wang, research director at US-based iSuppli, said in a note. "Existing (shanzhai) players also may leave the smartphone market altogether to seek greater opportunities in other consumer electronic sectors, such as tablets."
Global sales of gray-market handsets is projected to expand to 255 million units this year and then decline to 213 million units in 2012, according to iSuppli.
Generally, gray-market phones, mostly made in Shenzhen and other cities in south China, feature copycat designs and super-low prices of less than US$100. Most are not brand names and have no after-sales service.
Smartphones, which feature an operating system like Google's Android, are gaining market share in China.
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