As the New York Times recently reported, smartphones are so popular in the USA that it’s difficult to avoid seeing one, and in China, these devices are poised to become even more widespread.
This year, China will account for 26.5 percent of all smartphone shipments, compared to 17.8 percent in the United States, according to a forecast by the International Data Corporation, a research firm. China has surpassed the United States in smartphone sales in the past. However, only in the first quarter of this year did it become clear that the smartphone gap between China and the United States would become a “long-lasting gulf that won’t be bridged,” said Kevin Restivo, a senior research analyst with IDC.
What’s driving the spike in China? Cheaper Android smartphones priced below $200, like those made by Huawei, according to IDC. Apple’s iPhone has also been a big hit among Chinese customers — during Apple’s fiscal second quarter, sales of the iPhone there accounted for 20 percent of the company’s revenue. However, over all, Android phones are outselling the iPhone by about eight times in China, according to Mr. Restivo, which you would expect because Google’s operating system is available on a wider array of products at lower prices.
From an investor perspective, we are happy to note that our top-pick G5 Entertainment is doing well in China. Looking at G5’s download rankings for iOS in China, the development has been very encouraging throughout the year. G5 games have increased in the top grossing charts in China during Q2 and are keeping their good positions even now the competitive Q3 season has arrived. Remember, all that comes in a growing market, i.e. a top-100 position is worth more today than what it was six months ago. Here is the ranking for G5 Entertainment iOS games in China:
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