As China-based vendors Huawei, ZTE, Lenovo and Coolpad have had increasing market shares for smartphones in China, Taiwan-based makers of optical lenses and modules and other handset components have stepped up efforts to solicit orders from these vendors, according to industry sources.
Fierce price competition and the rise of CNY1,000 (US$157) smartphone models have reduced market share previously held by Nokia, Motorola Mobility and RIM, resulting in decreased orders from those vendors to Taiwan-based handset component makers, the sources noted.
While Apple is targeting the top segment of the smartphone market in China, Huawei, ZTE, Lenovo and Coolpad are competing head-on with Samsung Electronics in other segments, indicated the sources.
However, due to a rapid shift of vendors' ranking in China, order visibility from China-based smartphone vendors is normally short and those orders have yet to contribute significantly to revenue growth at Taiwan-based component makers, the sources commented.
Article translated by Steve Shen
