Forbes: apple need to reduce price in order to compete with iPhone Chinese rival

Apple has been actively Sue samsung (the Po), HTC (the Po), and other competitors to protect them in the United States and other of the profits of the market, but so far, apple limit themselves in Europe, Australia and other developed nations.

But facing huge potential and in the growing smartphone market in China, apple now focus on promoting the market penetration. Apple may be facing a threat, that is including the association, zte, TCL (the Po), cool and konka, China mobile cellphone brand form an alliance back to foreign threats, strengthen their patent portfolio.

The next smartphone center--China

According to the market research firm Strategy Analytics figures published in the third quarter of last year, according to the calculation, China has already surpassed the United States as the world's largest smartphone market, this is mainly thanks to China's huge population.

But China's 2010 smartphone permeability only about 15%, with the development of China's national strength, the purchasing power of the ordinary Chinese in ascension, the Chinese market smartphone demand will increase. Even apple CEO Tim Cook (Tim Cook) also admitted that China market has great potential and he in the fourth quarter of fiscal 2011 earnings apple conference that China is now apple business fastest growth area, apple is trying to do the best in the promotion of a brand.

IPhone has been through China unicom (the Po) listed in China, China mobile (the Po) and China telecom (the Po) also plans operation iPhone.

However, China's telecom industry seems to be more inclined to operation cheap smartphone, but not from apple, samsung and nokia (the Po) smartphone of high prices. According to the latest report, China wireless operators had started actively promote price in RMB 1000 smart cellphone, these smartphone (micro Po) by huawei, zte, lenovo, cool, TCL and mulberry of Chinese brand to offer.

Since most of the Chinese users are still unable to buy the smartphone high price, the strategy for China mobile phone manufacturers will bring huge profits.

IPhone price cut

Interesting is, apple will be in China by the iPhone price? Apple may eventually will China market price of the iPhone down, but it needs to rely on their long-term strategy, that is dependent on patent infringement litigation temporarily stop the development of competition.

Apple has in many countries to samsung launched a lawsuit and special selection in Germany, France, Italy and other European countries to put forward to samsung litigation, these areas happened to be apple share is Android manufacturers erosion of the market. On the other hand, the iPhone in the UK do well, apple is very few in the country at present to rival filed the lawsuit.

So far, apple has not yet filed suit to Chinese manufacturers, but Microsoft (the Po), nokia has filed suit. Microsoft has requirements such as huawei, company pay licensing fees, nokia is put forward to some of the mobile phone manufacturers patent litigation.

Because China is recognized as the most potential growth of the market, so apple soon will join is expected to patent litigation. But Chinese manufacturers now has already formed the alliance, this will be for apple for any manufacturer puts forward patent infringement litigation caused more difficult.

If apple can't through the patent litigation hinder the development of the Chinese manufacturers, so they will probably earlier price down iPhone.