MWC2020 cancellation affects more than just a few launches

After several twists and turns, MWC2020 was cancelled, the first time in MWC’s 33-year history that it was cancelled because of resistance. In GSMA (Global Mobile Communications System Association) announced that participants need to be quarantined for 14 days, and major manufacturers have announced their withdrawal from the exhibition, today, GSMA officially announced that MWC2020 cancellation! The 2020 Mobile World Congress, which has been plagued by the outbreak, failed to go ahead as planned.

MWC has been held more than 10 times and is a world-class event with 100,000 participants per year. The impact of this cancellation is not small. According to Spanish media reports, the cancellation of the MWC show cost $536 million directly. The participating companies themselves also have a large loss.

MWC cancellation has a precursor

In this special period, in order to protect the health and safety of customers, partners, employees, the media, a large number of big-name manufacturers have withdrawn from this year’s MWC.

Things got out of hand on February 5th when LG, the South Korean manufacturer, fired the first shot out of MWC 2020.

On February 7, Ericsson’s official website announced that it had decided to withdraw from the mWC, an industry event, because it could not ensure the health and safety of its employees and customers, and Nvidia said on the same day that it would not send employees to participate in this year’s MWC event. Since then, Amazon, Sony and Intel have announced the cancellation of the show.

Vivo, TCL and other domestic manufacturers, have announced the withdrawal of this MWC 2020. Even Samsung, OPPO, Xiaomi, Huawei, ZTE and other manufacturers scheduled to stay in the exhibition have taken various preventive and control measures, such as reducing the size of the exhibition, or canceling the MWC press conference and so on.

At the same time, the exhibition’s restrictions on Chinese tourists are also one of the reasons why this MWC 2020 is so star-studded.

MWC2020 cancellation affects more than just a few launches

Email notice to some participants, will prohibit exhibitors and exhibitors from the conference in Hubei Province, China

On February 10, the GSMA, the mWC 2020 sponsor, sent an e-mail notice to some participants that personnel from Hubei Province, China, would be banned from attending the conference, and that all visitors to China would be required to present proof of their departure from China and conduct a temperature check 14 days before the event began. This means that even on the date of the notification began to go abroad quarantine, a large number of our country’s media and staff will still miss the exhibition.

Despite this, the GSMA said in an email that as of February 11, more than 2,800 exhibitors will attend the event on February 24-27. On February 12th Marvell, BT, Deutsche Telekom and Nokia announced they would not join MWC 2020. The cancellation of MWC appears to have been irretrievable as several influential operators and businesses announced their withdrawals.

Despite the severity of the outbreak, domestic manufacturers, including Huawei and OPPO, remain enthusiastic about attending.

Some of the Chinese exhibitors, including Huawei, ZTE and OPPO, have arrived in Spain ahead of schedule as agreed by “14 days of isolation,” According to Sina Digital.

MWC2020 cancellation affects more than just a few launches

Huawei MWC Warm-up Poster

Huawei also released a poster for the MWC 2020 event yesterday, saying it would hold a press conference on February 23rd to bring in new products called “1 plus 8 plus N” and 5G. The Folding Screen 5G phone upgrade Mate Xs was scheduled to debut during MWC.

But on February 13, 2020, the GSMA, the mWC organizer, announced the cancellation of the 2020 MWC Conference.

5G industry and smartphones are deeply affected

Following the GSMA’s announcement, OPPO said it respected and understood the GSMA’s decision to cancel MWC 2020. After careful consideration, OPPO decided to postpone the OPPO Find X2 global launch, which had been scheduled for 22 February, until March.

In addition to OPPO, many mobile phone manufacturers have chosen to release heavy-duty new products at MWC. Especially this year is the year of the explosion of 5G phones, almost all major Android phone manufacturers will launch new 5G phones.

Huawei plans to release the folding phone Mate Xs on MWC. In addition to mobile phones, there may be laptops, headphones, and some surrounding smart terminals.

Vivo will release the new concept machine Vivo APEX 2020 on MWC, and there is speculation that it will show its first folding phone and more. However, due to the impact of the outbreak and the cancellation of the official exhibition, the relevant companies have announced that they will cancel or postpone the release of new products.

MWC’s cancellation disrupted the pace of the products that manufacturers had planned, especially as several major manufacturers were preparing to push the flagship product.

Under the outbreak, the 5G industry is not immune. 5G is the biggest theme of this year’s mobile phone manufacturers. Affected by the outbreak, as the main suppliers of mobile phone chips Qualcomm and MediaTek, have lowered the first quarter of the forecast, and because of the plant shutdown, 5G overall test progress will be slow, follow-up collection, construction time may be delayed. From this point of view, the first quarter of the mobile phone market situation is not optimistic.

IDC, a well-known research organization, believes that the domestic mobile phone market will undoubtedly face challenges in the first quarter of 2020, and the domestic mobile phone market will face a sharp decline of about 40% year-on-year in January-February 2020. Within three months, if the outbreak is stabilized, the overall market will enter a recovery period, but it will still be difficult to recover to the level of the same period last year.

Global smartphone shipments will fall 2 percent this year than expected and Chinese smartphone shipments will fall 5 percent lower than expected, according to a new strategy analytics report. At the same time, 70% of the world’s smartphones are made in China, so this will also affect the global smartphone supply chain and manufacturing capacity.

The industry will continue to grow

Although the current MWC is cancelled, but industry and technology development will not stop, although the outbreak to the letter industry, but must be short-lived. In the future, a big wave of online launches will hit.

For future planning, GSMA said it would continue to work with and support the host city for MWC Barcelona 2021 and future exhibitions. Exhibitors are assessing the damage and planning the next response. Some large enterprises are ready to prepare for half a year of new trends in enterprise technology, products and markets, through the online release.

I believe that as the outbreak passes, the market will gradually recover, 2020 is still very much worth looking forward to. The GSMA will focus on MWC Shanghai, tentatively scheduled to open on June 30, 2020, and perhaps MWC Shanghai will be the most watched exhibition in the communications industry this year, making up for the cancellation of MWC2020.