Sony and LG are both popular smartphone manufacturers in the world. They gave unique and amazing smartphones in the past.
But right now they face struggled with their division Q2 phone. Because they highly get infected by the Huawei new Phone Model name: Mate 20 X (5G) sale and also his amazing 23 percent jump in his revenue despite US crackdown.
How Huawei Made $32.3 Billion?
Huawei made $32.2 billion (221.6 billion yuan) in revenue in the April to June quarter, a 23 percent increase over the previous quarter despite the rapid increase of the US-China trade war cutting off its business with American companies.
And their Net profit margin was 8.7 percent on $58.3 billion (401.3 billion yuan) of revenue for the first six months of 2019.
Huawei has increased a 24 percent year-on-year, they sold 118 million total smartphones till yet in this half-year — 59 million in each quarter. And this sale looks like un-beatable when we see to others.
Huawei’s consumer business reached 220.8 billion yuan ($32.1 billion) in revenue for the same period, making up 55 percent of the company’s total sales. Sony and LG struggled to sell Q2 due to Huawei
LG mobile communication division posted on its official website. That first-half revenue with consolidated sales of KRW 15.63 trillion (USD 13.40 billion) and operating profit of KRW 652.3 billion (USD 559.4 million) for the period covering April-June 2019.
Compared to the same period last year, sales were 4.1 percent higher with operating income down 15.4 percent. LG blamed stagnant demand in the smartphone market and continued aggressive pricing by Chinese brands as factors contributing to its lackluster results.
Sony’s Electronics Products
Sony’s electronics products & solutions group, which the mobile division now sales dip by around $776 million, or 15 percent, compared to the same period a year earlier.
And Sony said it experienced a decrease in unit sales of televisions, smartphones and digital cameras and was also negatively impacted by foreign exchange rates. But this is not by their Q2 phone. Sony and LG struggled to sell Q2 due to Huawei.
In the end, I would say Huawei continues to be a juggernaut in the mobile space.
Some of the challenges that LG and Sony face, like increased competition from cheaper Chinese brands, aren’t unique to them. Innovation could likely solve the issues that both are experiencing but in a fatigued industry, that’s easier said than done.