Editing by Xin Lanhua

Shanghai-based leading mobile phone ODM (Original Design Manufacturing)  player Wingtech regained 40 million unit orders from Samsung, China press reported.

Wingtech (闻泰) has been a long-time ODM service provider for making Samsung's mobile phones. But it lost its orders in the last couple of years, especially in 2021 when Wingtech expanded to notebook computers and IoTdevice businesses. The other leading Chinese ODM company Huaqin picked up the business from Samsung.

The new order for Wingtech, representing a big part of Samsung's orders for 2022, indicates the success of Wingtech's adjustment.

Statistics from IDC show that the global smartphone shipments reached 330 million units in the third quarter, of which Samsung ranked first with 69 million units and a 20.8% market share. Mobile phone ODM manufacturers have supported Samsung in achieving this.

In 2018 and 2019, Samsung closed its mobile phone manufacturing plants in Tianjin and Huizhou of Guangdong Province and began producing phones in  India and Vietnam. At the same time, Samsung also started outsourcing manufacturing to ODMs in 2019. It released 80 million orders in 2020. It is now one of the largest mobile phone ODM users.

ODM manufacturers have greater advantages in supply chain management, cost control, and fast delivery compared with mobile phone manufacturers. Now mainstream Android mobile phone manufacturers, such as Xiaomi, vivo, and Honor, would all use ODM manufacturers.  

The trend has benefited Chinese ODM companies, especially the "Big Three": Wingtech, Huaqin, and Longcheer. According to Counterpoint data, they account for 77% of the market share.

Wingtech Technology was founded in 2006; It is an A-share listed company headquartered in Shanghai, having  grown dramatically over the last 15 years.

Wintech reportedly also became the exclusive assembler for Apple's new MacBooks in 2022.

According to industry insiders, Wingtech has won orders from other mobile phone brands, apart from Samsung.

The company is constantly recruiting new employees to expand its ODM business team further. It is expected to win back its top position in the Chinese ODM mobile phone sector.