Many consumers in China are choosing cheaper home grown smartphones over an iPhone, when they upgrade from feature phones, which is why Apple's share of China's smartphone market was halved in the second quarter.
According to China Daily, these phones are more geared to local needs and Apple is in talks with Chinese carriers to come up with a cheaper model of iPhone.
A consumer said that the quality of a local phone is not bad despite the cheap price and web streaming is quite fast.
By 2015, four out of every five cell phones sold will be smartphones in China, almost double the number right now, the report said.
Gartner forecasts the technology market in rural China will be worth 135 billion dollars by 2022, similar size to the urban market today, the report added.
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app