Huawei Aims to Overtake Apple in China’s Premium Smartphone Market with Price Cuts for Pura 70 Ultra and Other Models

In a fierce battle for dominance in China’s premium smartphone market, Apple is implementing significant price reductions across its iPhone lineup. As part of its New Year promotion, the tech giant continues to attract consumers with attractive discounts. Meanwhile, Huawei, known for its competitive pricing strategies, is also offering substantial discounts on its flagship devices in a bid to reclaim its position.

Huawei’s Strategic Discounts: A Move to Challenge Apple in the Premium Segment

Currently, Huawei and Apple dominate the premium smartphone sector in China, commanding market shares of 52 percent and 33 percent, respectively. Premium smartphones are classified as those priced above $600. Although Huawei faces challenges with its Mate 70 series, it still maintains its position as a strong competitor.

For instance, the Huawei Pura 70 Ultra, featuring an impressive 1TB storage option, is available at an 18 percent discount, decreasing its price from 10,999 yuan to 8,999 yuan (approximately from $1,494 to $1,233). Additionally, the 512GB version of this model is being offered at a 20 percent discount, despite a previous price reduction of 1,000 yuan or $137 last summer.

Moreover, consumers can purchase the foldable Huawei Mate X5 with a notable discount of 19 percent, lowering its price to 10,499 yuan (around $343). Although the Mate X5 was launched in September 2023, making it slightly outdated, it still emerged as the most popular foldable device in the region last year, illustrating its strong market acceptance.

Despite the Huawei Mate 70 series struggling in sales, possibly due to the limitations of the Kirin 9020 processor, consumers continue to have some options. The Kirin 9020, created using a 7nm node, contrasts with the latest iPhone 16 lineup, which boasts Apple’s advanced 3nm chip technology. Expert analysis from Counterpoint Research predicts that Huawei aims to sell at least 10 million units of its flagship Mate 70 models, reflecting optimism about future sales.

Huawei faces intense competition from brands like Xiaomi, Vivo, and Oppo, which also contribute to a crowded marketplace. In an effort to bolster its position, Huawei has recently launched its HarmonyOS, aimed to rival Android in the region, complete with a growing selection of apps. On the other hand, Apple remains resilient with its stronghold in the market, leveraging ongoing promotions to emphasize its unique offering as the sole non-Android alternative aside from Huawei’s own ecosystem. Stay tuned for more updates as this competition continues to evolve.

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