In 2018, the total number of global smartphones was 1.5 billion. Brands are keen on ODM mode.

In 2018, the total number of global smart phones is 1.5 billion units. The global traditional intelligent hardware market is becoming saturated. Brands seek ODM cooperation to increase product competitiveness in 2019.

Counterpoint data shows that in 2018, the global smartphone market is facing the challenges of serious product homogeneity, weak product innovation, and prolonged user replacement cycle. Although the overall volume is still maintained at 1.5 billion units, the first negative growth has entered the inventory stage. . However, smartphone manufacturers such as Samsung, OPPO, MOTO, LG and other large factories have not been able to fully meet their capacity needs, and the cooperation with ODM and EMS suppliers has expanded, driving the industry's ODM/EMS shipments. The proportion increased. Among them, 2018 annual smartphone ODM shipments exceeded 350 million, accounting for 24% of global market shipments.

2018 Global Traditional Intelligent Hardware ODM/IDH/EMS TOP3 Enterprise Market Analysis

According to Counterpoint's statistics on the traditional smart hardware outsourcing market, these manufacturers produce more than 1.1 billion smart terminals per year. The market value and benefits they contribute are considerable.

Top 1 Foxconn

Foxconn has gained the largest market share by providing Apple with the assembly business of smartphones and tablets. But its smartphone ODM business performance is not good.

Top2 Huaqin Communication

Huaqin is the second manufacturer of intelligent terminals with more than 100 million units shipped annually. In 2018, Huaqin's shipments reached 103 million units. Among them, the ODM business of smartphones and tablets has performed well, while the ODM business of notebook business has begun to improve. Ranked second in the field of traditional intelligent hardware manufacturing.

Top3 Wentai Technology

Wingtech relies on the smartphone business. Its 2018 smartphone shipments in the year of 2018 are about 91 million units. It has a high market share in the smart phone ODM+IDH and ranks third in the traditional smart hardware manufacturing field.

2018 Global Traditional Intelligent Hardware ODM Manufacturer Top 3 Enterprise Market Analysis

As a major player in the global smartphone manufacturing business, the global traditional intelligent hardware ODM+EMS manufacturing model is led by Foxconn and Huaqin in 2018, and both of them have annual shipments exceeding 100 million units. Among them, Huaqin has a leading position in the global traditional intelligent hardware ODM business, followed by Wentai and Longqi.

Top 1 Huaqin Communication

In 2018, the annual shipment of Huaqin Communication Intelligent Terminal reached 103 million. Among them, smartphone ODM shipments were about 85 million, tablet ODM shipments were 17 million, and notebook ODM business began to increase shipments by more than one million. As a manufacturer of all-category end products, Huaqin Communications has finally become a leader in traditional intelligent hardware.

Top 2 Wentai Technology

Wentai Technology relies on the smartphone business. In the 2018, the smartphone shipments in the whole year are about 91 million units, but the market share of ODM+IDH is relatively high. Among them, Xiaomi’s IDH model contributes a large share, accounting for half of the total, and Wentai Technology has fewer businesses in notebooks and tablets, and ranks second.

Top 3 Dragon Flag

Longqi is outstanding in the field of ODM manufacturing for smartphones and tablets. Although the Longqi ranking has not improved compared to last year, the growth rate is relatively high, and the overall shipment in 2018 is close to 70 million. Mainland China partners are their main supporters, such as Xiaomi, Huawei and Lenovo. Among them, Xiaomi contributed nearly half of the shipment orders.

Smart hardware manufacturers face new assessments in the era of "smart phones + IoT terminals"

Counterpoint data shows that, contrary to the entry of smartphones into the stock market, shipments of IoT products such as smart watches and smart speakers are growing at an annual rate of more than 20%. Among them, global smart watch shipments exceeded 50 million in 2018, a year-on-year increase of 26%.

Counterpoint predicts that the global smart hardware market will form an eco-market with "smartphone + IoT terminal" as the core before 2025, and the emerging intelligent hardware (smart speakers and smart watches) market will become a source of growth.

Faced with the huge potential "blue ocean" in the emerging intelligent hardware market, well-known Chinese and foreign Internet companies such as Amazon, Google, and BATJ have released their own brands and strive to seize the initial market share.

In 2019,corresponding to market demand, the hardware products of intelligent hardware ODM/IDH/EMS manufacturers are also more diverse, and they are beginning to accelerate from the smartphone to the IoT field.