US tech giant Apple said that it has sold two million iPhone 5 handsets in China after the device first appeared on December 14, 2012, in the country. This suggests that the new gadget can help the company maintain its status in a lucrative market despite the increasing competition.

The sales have also suggested that Apple is taking steps to improve its inventory and distribution in China, where the company also has to compete with other phone manufacturers.

The new iPhone 5 was launched in China without any disturbances, but the quiet launch contributed to a 3.8% drop in the company’s shares amidst concerns of slack demand. The weekend sales of the iPhone 5 came to equal sales of Apple’s iPhone 4S handsets in China. The company has sold 26.9 million smartphones globally in the quarter.

Today China is considered to be the world’s number one smartphone market by volume in the third quarter and Apple is competing for a market share with companies like Samsung from South Korea. Over the past year, Apple’s share in the smartphone market has dropped to 4.2% of the Chinese smarphone consumer base. Apple will also look at pushing other flagship products such as the iPad mini in one of Asia’s largest consumer capitals.

More interesting News -  Apple granted injunction, Samsung Galaxy Tab 10.1 banned in US