Chinese companies boycott Apple to support Huawei

“A growing number of Chinese companies are throwing their support behind Huawei Technologies following the recent arrest of its chief financial officer in Canada, taking such steps as offering subsidies for staff who buy the telecom equipment maker’s smartphones,” Shunsuke Tabeta reports for Nikkei Asian Review. “Many Chinese businesses have told employees they will receive subsidies if they buy Huawei smartphones to aid the company. Most are subsidizing 10% to 20% of the purchase price, with some even covering the full amount.”
“Huawei CFO Meng Wanzhou was arrested Dec. 1 in Vancouver by Canadian authorities at the request of the U.S.,” Tabeta reports. “Meng, daughter of Huawei founder Ren Zhengfei, is suspected of misleading financial institutions about transactions in Iran that violate U.S. sanctions. The Chinese Foreign Ministry and Huawei have called the arrest wrongful, and they continue to protest against Washington and Ottawa.”
Tabeta reports, “Other companies are boycotting Apple, which is battling with Huawei for second place among the world’s smartphone producers.”
MacDailyNews Take: Apple is not “battling” Huawei for a place in the unit share race, a race in which Apple does not participate.
Some writers, pundits, and analysts have concocted a “race” based only on units shipped because that’s the only way they can manage to have Apple “lose.” It’s like saying Usain Bolt is a poor runner because he’s never won a 5K. Usain Bolt has never run a mile, much less 3.107 miles. He doesn’t run 5K races.
Apple doesn’t ship junk in order to inflate unit share numbers. Apple last holiday season took 86% of global handset profits. Writers, pundits, and analysts continually ignore this fact, so that they can proclaim some other company the “world’s largest” or “the smartphone leader” when they are nothing of the sort. Apple is the clear leader in smartphones, not only since they invented the smartphone which all others, including Huawei, try and fail copy, but because Apple owns the bulk of the smartphone markets profits and has owned it in dominant fashion for years.
“A machinery maker in Shenzhen, where Huawei is based, threatened to confiscate Apple devices from employees and fire those who did not comply,” Tabeta reports. “Menpad, a Shenzhen-based tech company, said it would punish employees who buy Apple products. Finally, Shenzhen Yidaheng Technology said it would fine staffers who bought iPhones the equivalent amount of their device, while other companies threaten to withhold bonuses.”
Read more in the full article here.
MacDailyNews Take: Chinese companies who boycott Apple are cutting off their collective nose to spite their face.
SEE ALSO:
Apple’s iPhone X made 5 times the profit of 600 Android OEMs combined – April 18, 2018
Apple’s iPhone captured 86% of global handset profits in Q417; iPhone X alone took 35% of global handset profits – April 17, 2018
iPhone X drives smartphone revenue dominance; Apple made more money in Q417 than the rest of the smartphone makers combined – February 16, 2018
Apple iPhone took more than half of worldwide smartphone revenue share in Q417, a new record – February 15, 2018
Strategy Analytics: Apple has shipped 1.2 billion iPhones in the past 10 years; $760 billion in global revenue to date – September 8, 2017
Apple took 83% of smartphone market profits in calendar first quarter – May 16, 2017