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Huawei’s trifold phone On a bustling Friday in China, two of the biggest smartphone brands outside of Samsung—Apple and Huawei—unveiled their latest flagship phones: the iPhone 16 and the Huawei Mate XT trifold phone. The launch buzz among these launches underlines competition between two tech heavyweights but also brings into sharp focus rising interest in premium devices in one of the largest smartphone markets in the world. For Apple, it has had the iPhone, which is status and innovation personified, for a long time; on the other hand, Huawei’s days are packed with utmost action toward bringing out state-of-the-art technology despite having so much obstacle in the last couple of years. The simultaneous launch of the two caught eyeballs from the consumers but what was exciting was the fact that interest has diversified among buyers in both new iPhone and Huawei’s trifold Mate XT.
Huawei Trifold Phone : A Tale of Two Launches
In Beijing, queuing fans stood in line even as 5:30 a.m. caught up with them to be the first-to-get-the-iPhone16 at the Apple stores when the stores opened 8 a.m. And indeed excitement filled the air getting the newest out of Apple at that early morning hour outside the Apple stores. The new iPhone 16 Pro Max will cost a basic $1,199, while the standard iPhone 16 cuts in at $799. The price of these flagship devices from Apple is the same as in the previous models, but this time the situation is much more interesting because this company is competing not only with global brands, but also with domestic giant Huawei.
On the other side of the city, things were altogether quite different. Lines outside Huawei’s stores were sparse for the retail launch of its new trifold Mate XT, which starts selling at significantly higher than 16 dollars for the iPhone. It will start selling from the equivalent of over $2,800, making it one of the costliest smartphones today. The firm began shipping the new Mate XT to the pre-order customers at 10:08 a.m. time aptly picked by the company. Others were not so lucky as Huawei’s website stated that sales were closed and would resume the following day.
While no queue was visible in front of Huawei’s stores, continuous streams of customers poured in in the morning. By CNBC spot check, there is interest in both devices from many people at Apple and Huawei stores; in fact, this is an indication of very unique trends in consumer behavior in China. Of all ten people interviewed by CNBC, eight were interested in both the iPhone 16 and the Huawei Mate XT. With this dual interest, there is a shift from the earlier preferences of high-end Chinese consumers to mostly yearning for the experience of the familiarity of Apple luxury and Huawei’s innovative trifold design.
Huawei’s Comeback Story
That is a more than remarkable turnaround in the smartphone market where it has managed to survive tough sanctions imposed by the US in 2019, which affected its access to all major components and software of Google including the Android operating system that seriously compromised its global smartphone business. But Huawei rebuilt its smartphone business unit from scratch, shifting towards sales within its borders while improving its core tech capabilities.
In China’s smartphone market, Chinese telecommunications giant Huawei has emerged as the fourth performer in the second quarter of 2024, as Canalys reported. This is a great success since the U.S.-based Apple failed to make it to the top five for the first time and gave way to domestic contenders like Huawei. Focus on Developing Advanced Features and Hardware Like the trifold design of Mate XT contributes much to Huawei’s success since it outmatches others.
The Mate XT is, in fact, yet another foldable phone. However, this is a trifold design, so the phone folds into three sections, which means the user gets a larger screen by opening it up. This is one of the principal selling points for consumers looking for something different in the glutted smartphone market. The Huawei Mate XT is thus branded as one of the luxury devices that promises a novel technology. Although this limits sale, the products will surely target the high-classes of consumers willing to pay a premium for innovation’s name.
High Demand and Higher Prices
The Mate XT has also created a craze in the second-hand market. The device was reportedly listed to be resold at astronomical prices on websites such as Xianyu, a popular Chinese online marketplace. By Friday afternoon, the Mate XT was selling for as high as 60,000 yuan, or $8,520, nearly double the original price. Resale prices earlier in the day were slightly lower, at listings around 19,000 yuan, or about $2,700. This exponential growth in price really does suggest the level of demand for this tri-fold phone, especial among the collectors and resellers holding on to its hope of turning a quick profit.
On the other hand, the iPhone 16 Pro Max also faced some price gouging in the secondary market and was sold for as high as 10,500 yuan to 16,300 yuan ($1,440 to $2,230). The prices at which the iPhone is being resold reflect the less scarce nature of the product, therefore, the higher demand is not really driving the prices through the roof. However, the fact that the iPhone 16 and Mate XT are being sold on the secondary market for more than the retail price signifies the appetite among Chinese consumers.
Consumer Interest in Both Brands
What’s worthy to note on the launch day in China is that, after all, there was shared interest in both Apple and Huawei’s flagship devices. Many of the people queuing up in the lines at Huawei stores were, in fact, iPhone users who turned up just to see what Huawei has to offer in its new trifold phone. For instance, one man surnamed Yang said at the Huawei store to CNBC that he wants the Mate XT to try, but may not keep it. Yang has an iPhone, and the new one by Apple did not have anything significantly new, but he is absolutely drawn by Huawei’s innovative design. Yang tested the Mate XT for a few days before deciding whether he could keep it, gift it to a friend, or sell it.
Similarly, Wang, who was at the head of the line at Apple store that morning, said he was also interested in the Huawei Mate XT even though he mainly came to buy the iPhone 16. He explained that he only purchased the new iPhone because it lasted longer on its battery, though he was more than willing to wait for the iPhone 17 if it had more advanced AI capabilities. It was merely a novelty that struck his attention in the design of a trifold phone by Huawei and wished for something different from Apple’s traditional offerings.
These two interests coexist in the premium smartphone market, which signifies the complicated consumer behavior in China. Therefore, despite enjoying a loyal customer base, the vast majority of the consumers are readily becoming inclined to shift to new domestic brands, including Huawei. This can be mainly attributed to the emergence of new, innovative products from Huawei carrying advanced technologies.
Future of Premium Smartphone Market in China
Launched concurrently with an iPhone 16 model from Apple and a Huawei Mate XT model from Huawei, the latest smartphone may be reflective of the heated competition that is currently taking place in the most premium smartphone market in China. While Apple is the biggest player in terms of market share across the globe, stiff competition exists within China as more domestic brands take hold through innovative and powerful high-end devices.
Huawei’s Mate XT is a brazen expression of the will Chinese brands have in trying to break the glass ceiling set in terms of design and technology by under-ambitious foreign brands. In fact, with a trifold phone, Huawei means differentiation not from itself, but from this illustrious franchise as well as cementing the status of its flagship for emerging innovation leaders. But the Mate XT’s high price puts it out of the pocket of most customers, in all probability meaning it will find a niche among a few well-heeled customers willing to pay top dollar for the latest piece of technology.
Apple iPhone 16 is expected to keep continuing the trend of building up from previous years in its legacy of delivering high-quality, reliable devices with fewer groundbreaking new features and the catch-up competition. The interest in the latest from both Apple and Huawei comes from Chinese consumers. The future of China’s premium smartphone market may be influenced by further moves by these two brands towards the path of innovation and competition for the increasingly discerning customer.