CHINA TOPIX

05/11/2024 04:24:07 pm

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‘Xiaomi,’ China’s ‘Apple’, Selling Like Pancakes In Asia; The Next ‘Apple’ Killer?

Lei Jun, founder and CEO of China's mobile company Xiaomi

(Photo : Reuters) Lei Jun, founder and CEO of China's mobile company Xiaomi, speaks at a launch ceremony of Xiaomi Phone 4, in Beijing, July 22, 2014.

Xiaomi, China's top smartphone maker, is aiming big. The brand's goals are apparent after quickly becoming a major player in smartphones in Asia and now it is moving sales toward Europe and the U.S.

Xiaomi will be taking on the American and European markets through online marketing, but for now, they are testing sales through retail sites which offers four electronic accessories at the moment. Despite this, the company is still aiming big and challenging Apple sales in the U.S. as well as other of its major markets.

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In February, the company first announced its opening in the US. Xiaomi would only be selling a few accessories including headphones and battery chargers, but they are planning to eventually sell smartphones, currently a trend in China. Apple and other smartphone brands are however displeased at Xiaomi thinking the brand only copied them, according to The Independent.

The initial products Xiaomi is selling include a $15 fitness tracker, a pair of $80 headphones, a $10 USB power pack and a bigger model for $14. Their online shops are set to open Monday at 10 p.m. ET in the US; and in the U.K., France and Germany, 1 p.m. CET the following day.

The brand has already sold a few products in the U.K., such as the Mi-2 phone, according to TIME.

Xiaomi was founded in 2010, and the brand quickly became popular in Asia because of its affordability. In 2014, it became the biggest smartphone retailed in China, according to the market researcher, International Data Corporation. In the same year, the ambitious brand already sold more than 61 million smartphones in total. The company is now valued at $46 billion.

Because of the brand's booming sales in China, Xiaomi will be watched closely in the U.S. market. The U.S. is the world's largest smartphone market, but smartphone sales in the country are made through telecom carriers like AT&T, Verizon and Sprint. Xiaomi would have to work closely with them in order to capture the U.S. market.

It might take a while before the brand would be able to topple Apple's sales in China though.

Apple's profits in China increased by 71 per cent to €14.7 billion during the first quarter of the year, overtaking Xiaomi. Apple has become the largest smartphone-selling company in China, reported The Irish Times.

Data from market researcher International Data Corporation reported that Apple had a market share of 14.7 per cent share in the first quarter of 2015. Xiaomi only had 13.7 per cent.

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