Fewer Chinese consumers picking Apple's iPhone_美文

Fewer Chinese consumers picking Apple's iPhone

However, analysts believe that fiercer competition, together with other factors, played a much bigger role in Apple's lackluster performance in China.

"The iPhone 5 was less popular than its predecessor, the iPhone 4S, in China during the first 100 days after they hit the market," said James Yan, an analyst at research firm IDC. IPhone 5 handsets also saw stronger competition from brands such as Samsung Electronics and HTC, as well as some local brands like Huawei Technologies and Xiaomi, Yan said.

Meanwhile, Chinese telecom operators have cut their subsidies for iPhone 5 devices.

"Consumers and industry partners adopted a wait-and-see attitude toward the iPhone 5," Yan said. On the consumer side, they started looking for other high-quality smartphones with lower prices, or they are planning to buy the upcoming iPhone 5S or the iPhone 6, which seem to be more innovative products, he added.

Kevin Wang, an analyst at IHS iSuppli, said that Apple's pricing strategy also discouraged some first-time smartphone buyers and low-end customers. A 16 GB iPhone 5 costs at least 5,000 yuan ($809.80), more than the average monthly salary of people working in Beijing.

"The situation will only change when Apple introduces a less-expensive version of the iPhone, then we'll see a new sales surge in the country," Wang said.

Beijing-based Xiaomi is selling high-quality smartphones at extremely low prices, usually below 2,000 yuan. Xiaomi said it sold more than 7 million smartphones in the first half.