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Smartphone Manufacturing Grows Significantly by 21% in Q4 2016

By Korbin Lan
Published: Mar 06,2017

TAIPEI, Taiwan - IDC's latest report showed that the global smartphones manufacturing volume increased by 21% in the fourth quarter of 2016, compared to Previous season, due to the shortage relieved of LCD panel, memory and other key components, coupled with the Chinese New Year holiday stocking.

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Gao Hong-xiang, manager of IDC Global hardware assembly research team, pointed out that the smooth sales of Apple, Huawei, Oppo and Vivo boosted the demands of outsourcing assembly in the fourth quarter of 2016, which led to Hon Hai, Pegatron, Flextronics, Zowee and other related professional assembly to increase its shipments.

In terms of ODM shipping rankings, Wingtech regained its leading position from Huaqin due to the financial problem of LeTV against Huaqin. Longcheer and Chino ranked No.3 and No.4.

IDC projected that the smartphone OEMs will continue to strive for customers from each other under fierce competition between the phone makers. Meanwhile, by expanding their own production capacity to fight for emerging market tariff reduction and China government financial subsidies.

And the rising business risks will be main issue to the phone OEMs in 2017, IDC said.

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