China’s top smartphone makers are ready to challenge Apple Inc. on its home turf after trouncing the iPhone maker in their own market.
Huawei Technologies Co. and Xiaomi Corp. are in talks with U.S. wireless operators about selling flagship smartphones to American consumers as soon as next year, according to people familiar with the matter. The handset makers are negotiating with carriers including AT&T Inc. and Verizon Communications Inc., said the people, asking not to be identified because the matter is private. Talks are still fluid and it’s possible no agreements will materialize, they said.
Apple has a lot at stake in the U.S., where it is the leading smartphone maker. In years past, it’s been insulated from competition by strong support from carriers, which used to subsidize its expensive iPhones and lowered the upfront price for customers. These subsidies or discounts have gone away, as carriers moved to phone financing that spreads costs over two years.