China-based white-box tablet vendors have become increasingly competitive in the face of international vendors by offering a host of hardware upgrades, such as LTE support, ultra-thin bezels and 13-megapixel cameras, according to Taiwan-based supply chain makers.
For example, YiFang Digital has set up 22 automated production lines and sold tablets through large retail chains in the North America market with monthly shipments over 500,000 units, while Ployer Electronics has 16 production lines and ships more than 300,000 tablets a month, the sources said.
In the past, international vendors' price cut strategies were able to keep white-box players at bay, but they are no longer able to do so now that most white-box devices' specifications are already comparable to those offered by their international competitors, the sources said.
In addition to high-definition displays and quad-core processors, white-box players are also equipping their devices with advanced features to strengthen their competitiveness in the market, the sources noted.
However, the US' quantitative easing (QE) policy and fluctuations in China's foreign exchange rates are big concerns for white-box players as the two factors have already started impacting the white-box players' shipments. These impacts are expected to continue for the rest of 2014.
