Smartphone makers and sellers are cutting prices on brands from iPhone to Xiaomi as they seek to make the cut for government subsidies designed to prop up demand.
Subsidies began on Monday for smartphones priced below 6,000 yuan ($820). The rebates are equivalent to 15% of the sale price with the maximum subsidy of 500 yuan.
Xiaomi lowered the prices of two 14 Ultra models to less than 6,000 yuan, amounting to 1,000 yuan discounts.
"Now our models with the most advanced photography features will be eligible for the subsidies," Xiaomi Chairman and CEO Lei Jun said on social media.
Discounts for the 14 Ultras were for both online and brick-and-mortar sales. The subsidies will also apply to other Xiaomi products priced below 6,000 yuan.
On e-commerce platform JD.com, the Apple iPhone 16 Plus equipped with 128 gigabytes of memory sells for 5,999 yuan, down from 6,999 yuan. The Huawei Mate 60 Pro+, which used to sell for over 6,000 yuan, is now priced at 5,999 yuan.
China's smartphone market has been lackluster in recent years due to the coronavirus pandemic and a prolonged economic slowdown. Smartphone shipments last year topped the previous year for the first time in three years, but was still about 20% lower than in 2019, according to U.S. research company IDC.
During the fourth quarter last year, China's smartphone shipments were down 3.2% compared with the same period a year earlier, Hong Kong market research company Counterpoint said Tuesday… Read More
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Counterpoint Research is a global industry and market research firm providing market data, intelligence, thought leadership and consulting across the technology ecosystem. We advise a diverse range of global clients spanning the supply chain – from chipmakers, component suppliers, manufacturers and software and application developers to service providers, channel players and investors. Our veteran team of analysts serve these clients through our offices located across the key innovation hubs, manufacturing clusters and commercial centers globally. Our analysts consistently engage with C-suite through to strategy, market intelligence, supply chain, R&D, product management, marketing, sales and others across the organization. Counterpoint’s key coverage areas: AI, Automotive, Cloud, Connectivity, Consumer Electronics, Displays, eSIM, IoT, Location Platforms, Macroeconomics, Manufacturing, Networks & Infra, Semiconductors, Smartphones and Wearables.
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