According to various reports and market analyses, it’s actually Chinese smartphone manufacturer Huawei that outsources manufacturing of its Android-based devices to other companies more than any other major brand. While Samsung does outsource some production to contract manufacturers like Foxconn, its own factories still produce a significant portion of its Android phones. In contrast, Huawei has been known to rely heavily on Taiwanese company Taiwan Semiconductor Manufacturing Company (TSMC) to manufacture many of its high-end devices.

Smartphone manufacturers often outsource design work for certain models to third-party companies, a trend that continues to shape the industry. A recent report sheds light on just how many units each major brand ships from these outsourced designs.

Reported the proportion of outsourced telephones shipped by each smartphone manufacturer during the initial six months of 2024. Can we test this graphic quickly?

According to the monitoring agency, Apple was not reliant on outsourced designs in any way, a fact that is consistent with the company’s reputation. This principle often applies to entry-level mobile phones, whereas Apple primarily focuses on the premium market segment. Meanwhile, Oppo was the highest-ranked canine amongst Android manufacturers to date, with its in-house designs leading the pack. The proportion of smartphones manufactured with designs provided by original design manufacturers (ODMs) has declined, comprising just 22% of total shipments, down from 28% in the previous year.

Samsung’s reputation has been enhanced by the fact that it is gradually transitioning away from relying on Chinese original design manufacturers (ODMs) to utilizing its own domestic production facilities in India. Samsung’s market share in the sub-$250 segment contracted due to reduced outsourcing, while its presence in the $250-plus category strengthened.

The OPPO group and HONOR followed closely, with 39% and 40%, respectively, of their smartphone shipments comprised of outsourced designs. Approximately 40% of the Oppo and Honor handsets dispatched during this period were Original Design Manufacturer (ODM) products.

In stark contrast, nearly nine out of every ten smartphones shipped during the first half of 2024 were manufactured using outsourced design solutions. Xiaomi trailed closely behind, with almost 80% of its phones shipped being outsourced designs from other companies. As expected, Xiaomi and Huawei’s strong reliance on original design manufacturer (ODM) designs is not surprising, given their prominent positions in the budget sector, where both companies commonly leverage outsourcing as a means to boost profit margins.