Middle East
Samsung and Apple make merry in Middle East smartphone Q2 sales in 2022
Samsung and Apple have consolidated market share in sales for the second quarter of the year in the Middle East and Africa region even as smartphone shipments dipped 10 percent for the same Q2 period overall.
Macro headwinds have turned the tide with a 7.8% dip year on year and reflecting brands’ enthusiasm, according to a latest research report from Counterpoint’s Market Monitor Service.
The research report by Yang Wang says: “The biggest drag on the market was, unsurprisingly, macro issues. Inflation induced by food and fuel shortages dampened consumer demand while declining domestic currencies against the US dollar reduced the purchasing power of consumers.”
There were also secondary macro factors that impacted the market. For example, some governments imposed food export bans or “non-essential” goods import bans to stem the outflow of foreign currency reserves. Taxes on electronics products were also increased, adding more hurdles to the market’s smooth operation.
The market leader, Samsung, grew YoY from a relatively low base in Q2 2021 when it faced COVID-19 disruptions at its Vietnam production facilities.
The new and revamped Galaxy A-series devices have performed well and were among the best-selling devices during Q2. Samsung’s shipments are expected to grow in H2 with the upcoming launch of its new generation of foldables and as end-of-year sales approach.
Apple’s shipments also grew 2% YoY, largely due to better distribution and product availability in GCC countries. The iPhone 13 series has the best-selling premium devices in the region since its launch.
However, other brands apart from these two took a hit in the numbers. Given the pessimistic global macro sentiment, some brands have restrained activities in the region, according to the report. Brands were under pressure to streamline budgets and activities, which were redirected to more strategic markets and regions.
This meant that incentives to push brand penetration in MEA were scaled back, which in turn forced distributors and resellers to raise prices to defend their margins. These headwinds led to declining shipments for many OEMs.
OPPO, Realme, Vivo and Xiaomi saw steep YoY declines in their Q2 shipments. The OEMs continue to struggle in establishing a foothold in the region, as weak distributor incentives and supply issues have plagued the brands throughout H1 2022.
Furthermore, stiff competition from regional stalwarts Samsung and Transsion Group’s TECNO and Infinix has curtailed market share for the challenger brands. However, the ramping up of local production in Pakistan, specifically for OPPO, vivo and Xiaomi, could help ease supply issues in the region. But it is unlikely to have any substantial effect in 2022.
Despite the underwhelming market performance in the first half of the year, there are some reasons to be cautiously optimistic about the rest of the year.
Though inflation has reached double digits in many countries across MEA, it is not a new phenomenon and most customers have experienced these episodes in the recent past. This has brought them the ability to adapt quickly to the new economic realities. Also, the average selling prices of smartphones are continuing to trend up in the region, suggesting increasing digitization and customers’ need for more sophisticated handsets.
The easing of the global semiconductor shortage, which led to severe product availability issues for MEA in 2021, is also expected to help the market find a stronger footing once the economic issues subside.
Business
SkyPower and ZETDC Sign landmark power purchase agreements for Zimbabwe’s largest solar project
In a historic event at the World Future Energy Summit, SkyPower and the Zimbabwe Electricity Transmission and Distribution Company (ZETDC) have signed Power Purchase Agreements (PPAs), marking a significant milestone in the development of the largest solar project in the history of Zimbabwe. The agreements pave the way for the commencement of the Green Giant project, set to deliver 500 MW of solar power, capable of energizing approximately 2 million households.
As previously stated by His Excellency Emmerson Mnangagwa, President of Zimbabwe: “My presidential commitment is to enhance our energy sustainability through renewable energy by collaborating with world-class companies like SkyPower. Today’s signing is a landmark achievement for our nation, setting a robust foundation for our sustainable future.”
The signing ceremony in Abu Dhabi was witnessed by eminent personalities including the Honorable Edgar Moyo, Minister of Energy of Zimbabwe, Lovemore Mazemo, Ambassador of Zimbabwe to the UAE, Eng. Abel Gurupira, Managing Director of the Zimbabwe Electricity Transmission and Distribution Company, Mr. Mazambani Edington Tapera, Chairman of ZERA.
“This is a momentous day for Zimbabwe, demonstrating our commitment to transforming our energy sector and ensuring reliable power for our people”, stated by Eng. Abel Gurupira, Managing Director of the Zimbabwe Electricity Transmission and Distribution Company. Kerry Adler, President & CEO of SkyPower, highlighted the project’s importance, “We are proud to kick off the initial phases of the Green Giant project at this prestigious summit. This partnership exemplifies our dedication to promoting sustainable energy development globally.
Upon completion, this project will stand as a testament to Zimbabwe’s commitment to renewable energy and economic growth.”
“The significance of today’s event cannot be overstated. As we align our efforts with global energy transitions, this project underlines our strategy to integrate renewable energy into our national energy mix significantly,” remarked the Honorable Edgar Moyo.
This accomplishment highlights the country’s favorable environment and underscores the exceptional teamwork and dedicated efforts from both parties.
This initiative is expected to boost Zimbabwe’s economy significantly by creating thousands of jobs and fostering infrastructure development. It is aligned with global efforts towards achieving the UN Sustainable Development Goals and enhancing the quality of life for millions of Zimbabweans.
The UAE fuel price committee on Sunday announced petrol and diesel prices for the month of April 2024.
Super 98 petrol will cost Dh3.15 a litre, compared to Dh3.03 a litre in March, while Special 95 will cost Dh3.03 a litre, compared to Dh2.92 a litre the previous month. E Plus 91 category petrol will be available for Dh2.96 a litre, compared to Dh2.85 a litre in March, while diesel will now cost Dh3.09 a litre, compared to Dh3.16 a litre the previous month.
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Globally, oil prices traded higher in March 2024 as compared to the previous month on a tighter supply outlook and heightened geopolitical risk. Crude prices settled at a four-month high during mid-March as the International Energy Agency projected a tighter market and also raised its own demand growth this year.
WTI crude was trading at $83.17 an ounce, up 2.24 per cent. While Brent was trading 1.86 per cent higher at $87.0.
Brent averaged around $84.25 a barrel in March 2024 as compared to $81.3 in the previous month. This $3 increase in average price in March is likely to be reflected in next few months.
Meteora Developers, a trailblazing force in the business sector, has officially announced its acquisition of the esteemed England Champions cricket team, in partnership with Bollywood icon Jacqueline Fernandez. This strategic move positions the England Champions to enter the prestigious World Championships of Legends (WCL), signaling a historic convergence of cricketing legends and global fan engagement.
The announcement unfolded amidst a glitzy ceremony at Taj Downtown, Dubai, attended by former England captain, Ian Bell and other names from the sporting world
Meteora Developers’ founder and CEO, Mr. Praveen Sharma, expressed enthusiasm about the association with WCL and the ambitious goals for the England Champions. “Our entry into the World Championships of Legends is a pivotal moment for us. With cricketing greats like Ian Bell on our team, we’re poised to build a legacy that will captivate and inspire English fans globally. This is just the start of a thrilling journey,” Sharma asserted, hinting at a promising future for the franchise.
Cricket star Ian Bell, an integral part of the England Champions, underlined the significance of this venture for players and the sport. “Being part of the England Champions under the WCL is an extraordinary opportunity. The league’s innovative approach and the chance to play in England make this a truly exciting prospect. I’m eager to contribute to our team’s success and make our fans proud,” Bell commented, emphasising the players’ enthusiasm and commitment.
Harshit Tomar, CEO of WCL, delivered an impassioned overview of the league’s vision, emphasizing its commitment to redefine the global cricket landscape. Tomar warmly welcomed Meteora Developers and the England Champions into the WCL family, expressing high expectations for the collaboration. “This partnership promises to bring innovation and excitement to cricket, setting new benchmarks for excellence,” Tomar remarked.
e& life joins Dubai FinTech Summit as a Powered By sponsor
SkyPower and ZETDC Sign landmark power purchase agreements for Zimbabwe’s largest solar project
