Chinese OEMs Fail to Capture Ultra-Premium Market in China
In the Q221, Apple captured nearly 75 percent of the ultra-premium segment (over $800) compared to 54 percent a year ago. In this price range, Apple had the highest Y/Y growth of 182 percent on the back of strong demand for the iPhone 12 Pro and the iPhone 12 Pro Max from April to June, according to Counterpoint Research. In China, Apple has filled the (>$800) void created by the demise of Huawei with domestic OEMs failing to make a mark in this price segment, according to IDC.
Liu Bo, vice-president of OPPO, said at an online product launch event that in terms of organizational structure, OPPO and OnePlus teams must be fully integrated to form a combination of dual brands and dual flagship handsets, and to make concerted efforts to grow the high-end business.
OnePlus was created by former PPO senior executive Liu Zuohu in 2013. Since its establishment, it maintained a high degree of brand independence while sharing production and supply systems. OnePlus has always focused on design and experience and won the recognition of both domestic and foreign users in the high-end market. However, from the perspective of market share, OnePlus had always been a niche brand without entering the mainstream market. "Merging with OPPO will give One-Plus more resources to bring better products to compete for the premium market with Apple and Samsung.