Chinese Favor Big Screen Smartphone as Apple iPhone 6 Launches in China
Rubi Valdez | | Oct 17, 2014 11:43 PM EDT |
(Photo : Reuters/Jason Lee) Customers wait to buy iPhone 6 and iPhone 6 Plus outside an Apple store in Beijing, October 17, 2014. The iPhone 6 and iPhone 6 Plus will be available in mainland China from Friday, after rigorous regulator scrutiny led to Apple Inc reassuring the Chinese government that the smartphones did not have security "backdoors" through which U.S. agencies can access users' data.
The Apple iPhone 6 and iPhone 6 Plus finally arrived in China on Friday weeks after its debut in the United States, but the number of customers waiting in line is surprisingly fewer than expected.
Approximately 150 customers lined up outside the Apple center at Sanlitun shopping district in Beijing waiting for their pre-ordered iPhone smartphones. Most of them, like 18-year-old Liu Li, have bought units during the midnight sale prior to the actual launch.
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Dozens of security personnel and a handful of Apple employees wearing blue shirts welcomed customers on its 8 AM opening. Liu said that Apple's decision to upgrade to a larger screen appealed most especially to loyal iPhone users.
Customers pay 5,288 yuan (US$863) for the 4.7-inch iPhone 6, slightly higher than the US$649 non-contract introductory price in United States.
Buyers from Beijing had bought units in advance as much as 12,000 yuan for the 128GB iPhone 6 Plus, 87 percent higher than Hong Kong price list. It was reduced to 7,788 yuan since the official launch.
China country manager for Forrester Research Bryan Wang said that the new iPhone 6 units will outsell the previous models, but it is unlikely to generate folds of revenue.
According to Tencent Holdings, Ltd.'s Tech, 20 million customers have registered on pre-orders, which then accounts to about 10 percent to 15 percent sales conversion or 2 to 3 million units sold.
Wireless carriers such as China Mobile Limited, the country's largest carrier, is cutting off subsidies on mobile devices up to US$2 billion; thus, giving consumers additional expenses. Instead, staff offer call plans discounts up to 62 percent of the total price of lowest-priced iPhone 6 or 3,264 yuan.
Overall, China topped other countries in iPhone sales totaling US$5.9 billion or 6 percent of the market share including Taiwan and Hong Kong as of June 28, IDC said. However, it is expected that local smartphone companies, such as Lenovo and Xiaomi, can topple or equal Apple's sales in the low to mid-range category.
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