UBS: domestic Chinese smartphone makers impacting Apple’s marketshare

In a note to clients, UBS analyst Steven Milunovich notes that devices perceived as comparable in quality and functionality to Apple's iPhone are cutting into sales of the iPhone 7 line in China. 

Milunovich notes that the greater China market represents about 25% of Apple’s revenue, much of it at relatively high-margins. However, Apple has been losing market share to domestic Chinese brands like OPPO, Vivo and Huawei. One bright note: the higher-margin iPhone 7 Plus seems to be out-selling the iPhone 7.