Monday, September 25

TikTok Makers Plan to Launch their own Smartphone

There are several Chinese smartphone brands in the market as Huawei, Xiaomi, Vivo, Oppo that have gained a good market worldwide. Huawei was on the top list and one of the best smartphone seller globally before the US Trade war. You will be surprised to know that a new Chinese smartphone brand is going to arrive in our market. The Bytedance Company, which is also known as the parent company of the video streaming app TikTok is said to be stepping into the hardware field and working to develop its own all-new smartphone. This move came after the Chinese telecommunication companies like Huawei and ZTE were spooked by the consequence of the US ban.

Dream of ByteDance CEO Zhang Yiming

As per the reports of The Financial Time, it was claimed that Zhang Yiming, the founder and the CEO of ByteDance Company wished to launch a mobile with Bytedance apps pre-installed in it. He long dreamt of making such a mobile. Some unconfirmed reports also claim that this Chinese-based Company has confirmed a deal with phone maker Smartisan in January 2019. It has also hired some Smartisan employees and developed a patent portfolio. It is also said that at that time this deal was done to explore the education business.

Pre-installed Apps in the New Smartphone

According to some unidentified reports it is said that the phone will come preloaded with many ByteDabce apps like news aggregator Jinri Toutiao, which already has one million daily active users, the ever-present TikTok which is ranking as the top used app globally, an instant messenger Feiliao and also some unreleased apps like music service, games, and short video platforms.

The US Trade War

However, no reports about the phone design or envisioned market came forward but it was said that this company could be hindered by the US government trade war and the opposition against the Chinese telecommunication Companies. ByteDance is among the few Chinese-based Tech Companies that boast a large user base from outside its home market and especially in India and US.

Facebook and Amazon preloaded smartphones flopped

Facebook too launched HTC and Samsung phones with some special apps preloaded in it but unfortunately, they have to discontinue it due to some reasons. It is believed that they are abandoned because of the strong operating system of Google. A similar fate was observed by Amazon smartphones, the buyers simply rejected the Amazon Fire phone and it was pulled a year after its launch.

What is going to be the future of ByteDance preloaded smartphones?

It is a great challenge for the upcoming mobile of Bytedance because Facebook and Amazon preloaded smartphones flopped badly. Many analysts predict that ByteDance would also have a similar outcome. Indeed it will be an uphill battle especially in China where many smartphone sales are cooling down and competition toughens between the entrenched players like famous Huawei, Oppo, Xiaomi and Apple.

What will be the fate of this mobile phone in the international market?

Analysts believe that they will have a similar outcome like Facebook and Amazon because there is no space for them in the mass market. Some say that they lack experience in the supply chain on this path so their chances of being successful is very less. Wang XI a research manager of Data Consultancy China believe that the competitive domestic hardware company meant any newcomer would have to persuade its users with low prices and must-have content and if they really go through this path they will let hardware lose money in the beginning and try to make up through service later.

TikTok’s Success as a Motivating Factor

Though it is clear that this Chinese-based company managed to gain a meaningful purchase worldwide through TikTok that topped the worldwide ranking in the last few months. On the other side, it also faced a lot of consequences, It was imposed a fine of 5.7m in the US by Federal Trade Commission for allegedly violating children’s privacy protection law and it was imposed a ban in India for promoting illicit content.

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