1. Huawei bridges the success of Western Developers into China
Key Insights on the Mobile User & App Ecosystem in China
Dr. Jaime Gonzalo
VP Consumer Cloud Services EU Droidcon, Berlin, September 2017
华为开发者联盟 LOGO

2. World’s Biggest Mobile Market1.
China’s Mobile Boom
World’s Biggest Mobile Market

3. 2017: China Smartphone Penetration Will Surpass 50%
2017 smartphone users; 881M in 2020
1.4Bn
Chinese consumers
in 2017; 1.5Bn in 2020
19%
SHARE OF GLOBAL
29%
Source: Newzoo | 2017 Global Mobile Market Report

4. Global App Revenues Grow to $85Bn in 2020
Last Year, China’s App Revenues Surpassed US
$16Bn
2017 app revenues
$26Bn in 2020
29%
SHARE OF GLOBAL
31%
71%
of smartphones
used is Android
Source: Newzoo | 2017 Global Mobile Market Report
Global App Revenues Grow to $85Bn in 2020

5. From Communication to Innovation2.
Chinese Mobile Life
From Communication to Innovation

6. Focus of Consumers Shifts to Quality and Innovation
Device Quality: Budget for Mobile Devices Soars
as consumers upgrade from their previous model
Source: Newzoo/TalkingData | 2016 China Mobile Internet Annual Review
DECEMBER
2015
2016
1-999RMB
1,000-1,999RMB
2,000-3,999RMB
> 4,000RMB
Huawei
highest acquisition rate
(3x Samsung)
Huawei highest
retention rate
(2x Samsung) in the market*.
*Measured by share of active users that replaced its mobile device in the period November 2016 to January 2017
Source: Newzoo/TalkingData | 2016 China Mobile Internet Annual Review

7. increase in downloads of shopping apps in 2016 versus 2015 in
Shopping Happens on Mobile First
56%
of Chinese online consumers* predominantly use their phones for shopping online.
China Is Global Leader in Mobile Shopping
share of consumers* that mainly use mobile to shop online
U.S
Germany
India
China
Russia
+196%
increase in downloads of shopping apps in 2016 versus 2015 in
HiApp.
TOP 5 SHOPPING APPS IN HIAPP IN APRIL 2017
*Chinese consumers defined as Tier 1 & 2 users aged 10 to 65 who have access to the Internet, April 2017
Source: Newzoo | 2017 China Consumer Insights, April 2017
Source: Huawei | HiApp Data Center
*Chinese consumers defined as Tier 1 & 2 users aged 10 to 65 who have access to the Internet, April 2017
Source: Newzoo | 2017 China Consumer Insights, April 2017
Source: Huawei | HiApp Data Center

8. Paying with Your Phone Is the Standard
70% of Chinese online consumers* prefer to pay with mobile wallets when in shops.
China Is Global Leader in Mobile Wallets
share of consumers that prefers to pay with mobile: 2.5X the U.S
U.S
Germany
India
China
Russia
+452% increase in the number of people using HiWallet between 2015 and 2016.
*Chinese consumers defined as Tier 1 & 2 users aged 10 to 65 who have access to the Internet, April 2017
Source: Newzoo | 2017 China Consumer Insights, April 2017
Source: Huawei | HiWallet Data Center
Source: Newzoo | 2017 China Consumer Insights, April 2017

9. China As An Opportunity3.
China As An Opportunity
Proven Success by Western Companies

10. was the market value of Didi at time of the acquisition.
Uber’s Success in China Sparked an Acquisition
$28Bn
was the market value of Didi at time of the acquisition.
Uber Outperformed Didi in Growth
in the months before the acquisition in August 2016
20%
stake in Didi is what investors in Uber and UberChina received to hand over its operations.
GROWTH IN MONTHLY ACTIVE USERS IN JULY 2016
+2%
+23%
Source: Newzoo/TalkingData 2016 | China Monthly Mobile Market Update | TalkingData App Data Center
Source: Wall Street Journal

11. Airbnb Western Experience Success in China
China Has the Second Most Downloads of Airbnb on iOS
13% of monthly downloads in April 2017 come from China
U.S
U.K
South Korea
China
France
100M+
ACTIVE USERS OF AIRBNB WORLDWIDE
650K+
AIRBNB HOSTS WORLDWIDE
Source: Newzoo/PrioriData | Global Apps Store Intelligence
Source: 90 amazing Airbnb stats and facts (March 2017)

12. Chinese gamers like Western content
Top 10 Grossing Games on Android Devices in China
independent of distribution channel or android store (Dec 2016)
Share of Western Games in Top 100 Grossing Games
in terms of number of titles and share of revenue (Dec 2016)
Rank
Name
Publisher
Game Genre
Release
MAU (M) 1
Onmyoji 
NetEase
Role Play
2016Q2
6.6 2
King of Glory
Tencent
Action
2015Q3
21.2 3
Fantasy Westward
Journey
2016Q1
3.3 4
Ghost Story
2.4 5
Anipop
Happy Elements
Casual
2013Q4
39.6 6
Clash of Clans
Supercell Oy
Strategy
2012Q3
4.3 7
Happy Lord
Casino
11.3 8
Hearthstone
Cards
2014Q1
1.4 9
Miracle Nikki
2015Q2
1.3 10
Temple Run 2
iDreamSky
Casual (Parkour)
13.0
7/100
GAMES ARE WESTERN 2%
OF REVENUES BY WESTERN GAMES
16/100
GAMES ARE WESTERN
15%
OF REVENUES BY WESTERN GAMES #6 #8
#10
#11
$10Bn
TOTAL MOBILE GAME REVENUES IN CHINA IN 2017
Source: Newzoo/TalkingData | China Monthly Mobile Market Update | TalkingData App Data Center
Source: Newzoo | 2017 Global Games Market Report
Source: Huawei | HiApp Data Center
Source: Newzoo/PrioriData/TalkingData | Global App Store Intelligence | TalkingData App Data Center

13. Understanding The Ecosystem4.
Understanding The Ecosystem
Navigating towards Success

14. China’s Colourful App Store Ecosystem
The Android Ecosystem Consists of Numerous Stores
owned by various media companies and device brands
360
Mobile Assistant
MyApp
(Tencent)
Baidu
Wandoujia
(Alibaba)
China Telecome
Tianyi Store
China Mobile
Market PP
China Unicom
Wo Store
PRE-INSTALLED OEM APP STORES
Huawei
HiApp
OPPO
App Store
Vivo
Xiaomi
THIRD-PARTY APP STORES
CARRIER APP STORES
AND MORE…
Source: Newzoo/TalkingData | Reference Guide to China’s Mobile Android Ecosystem
45Bn
DOWNLOADS FROM HUAWEI HIAPP STORE IN 2016
*Defined as an aggregate of the individual market shares of Huawei, Xiaomi, OPPO, and vivo app stores amongst all Android users
Source: Newzoo/TalkingData | China Monthly Mobile Market Update
Source: Huawei | HiApp Data Center

15. Huawei as Partner: Supporting 240,000 Developers Worldwide
Developer Tools
Consumer Interfaces
Developer
Alliance
APP
Test
Huawei ID
Huawei
Push
Smartphones
Tablets VR
Devices
Wearable
Devices
Developers
Consumers
Pressure
Sensing
Dual
Camera
IAP
Huawei
Themes
Game
Center
App
Market
$400M
paid out to developers
in 2016 alone.
App Develop / Test
Distribution
Monetization

16. annual fund to support the success of developers in China.
Huawei as Partner: Marketing, Monetization & Investment
$30M
annual fund to support the success of developers in China.

17. JOIN US Dr. Jaime Gonzalo VP Consumer Cloud Services Europe Huawei
华为开发者联盟 LOGO
Website: developer.huawei.com/
consumer/en/register/regContry.html