Is Apple Finally Headed for the Chinese Market?
China Mobile (NYSE:CHL) has finally jumped on the Apple (NASDAQ:AAPL) iPhone bandwagon, signing a deal allowing it to sell the iPhone. Apple’s potential consumer pool has been enlarged a significant amount, adding 759 million to the market, double America’s population according to Bloomberg. This will open the way for considerable revenue boosts.
The Wall Street Journal spoke with Trefis, a research firm, regarding just how much profits in China could improve company finances. China Mobile might sell as many as 1.5 million iPhones every month, meaning Apple will sell nearly 20 million more iPhone in 2014, a 17 percent increase in sales for the fiscal year. Both China Unicom Hong Kong Ltd. and China Telecom Corp. have had iPhones since 2009 and 2012 respectively, however their customer base is far smaller than China Mobile.
At the moment, Samsung (SSNLF.PK) has the lead in smartphones in China, eating up 21 percent control of the market in the third quarter, with Apple’s market share only at 6 percent in the same period — according to the Wall Street Journal.