First, Apple kicked Nokia out of New York, then European operations were curtailed, now comes word Apple will likely attack the cell phone pioneer in China, the hottest market for smartphone makers. A “drastic realignment” in that Asian giant’s mobile marketplace is expected later this year.
Although Nokia is now the No. 1 player in China, selling between 20 percent to 30 percent of the nation’s handsets, Apple is on the verge of inking deals selling the iPhone to the lion’s share of the country’s more than 600 million wireless users.
According to industry publication DigiTimes, a “drastic realignment” of China’s mobile market could happen as soon as the later half of 2011 or the first six months of 2012. Citing unnamed sources, the publication said Nokia will feel added pressure as Apple ink’s deals with the nation’s largest carrier, China Mobile, with 68 percent of the entire market. The iPhone maker is also in late-stage negotiations with China Telecom with 108.4 million subscribers or 12 percent of the market. The two deals are on top of Apple’s current partnership with China Unicom.
Nokia also needs to keep an eye open for the Android threat, where it has 50 percent of the nation’s wireless market. Samsung Electronics, HTC and Motorola Mobility are the top three Android-based mobile phone makers in China.
Apple recently announced earning $9 billion in China this year, with plenty of room to grow. China’s smartphone market is estimated at $70 billion.
