LeEco smartphones and Coolpad are becoming one?
LeEco and Coolpad are the two of the most popular phone brands in China. And now LeEco smartphones and Coolpad phones will become one. So, is it true?
LeEco smartphones: two become one
LeEco and Coolpad have just made a bold mark in their cooperation. By buying 11% additional Coolpad’s shares, LeEco now is the biggest shareholder of the company. This latest shareholder got to spend $135 million to buy these shares. Now, LeEco has held 28,9% Coolpad’s share in total. And it just took LeEco a year to become the largest shareholder of the China’s top four domestic smartphone brand. Previously, the brand was also the second biggest shareholder with 18% shares ($353 million).
LeEco, although, just stepped into the market 1 year ago, it is still one of the most successful brands in China. By Apirl 2016, this smartphone maker has sold over 10 million LeEco smartphones. In the second quarter of a month, the company sales exceeded 2 million LeEco smartphones. Coolpad, on the other hand, used to dominated the domestic 3G and 4G markets. In the past, it was the second largest Chinese brand. This integration will benefit to the both companies and bring them more success than these.
Two brands will have more product research, patents, marketing, etc. Coolpad with strong R&D apartment will help its partner in R&D capabilities and makes the LeEco’s globalization progress faster. Besides, LeEco will also have an advantage of Coopad’s sales channels from North America, Europe to Asia and Africa. With the integration, these big brands are estimated to sell 50-60 million smartphones in this year, and more than 100 million products in 2017.
LeEco smartphones: way to global market is shorter
LeEco and Coolpad are the large companies in China. Now, with this integration, they are even bigger and more popular. It seems like that LeEco will be the one who gets more advantages in this deal. No matter which brand gets more benefits, both brands will have more than before. Just wait and see.