Tag: Xiaomi news

Things You Should Know About Xiaomi

When it first started off in 2010, this company did not expect that five years down the line, it would would become one of the biggest smartphone companies globally. Yes, Xiaomi had taken the tech world by surprise when they released the Xiaomi Mi series lineup, capable of holding its own ground against Apple or Samsung smartphones. Additionally, Google had lost one of its top Android executives, Hugo Barra, to an ‘unknown Chinese smartphone company’ in 2013. Yes, he was headed to Xiaomi as the Vice President of Xiaomi Global, also dubbed as ‘Apple of the East’ by New York Times.

History

Xiaomi was initially started by Mr. Jun Lei and seven more partners on April 6^th, 2010. Initial investors included Temasek Holdings, an investment office from Singapore, and Chinese venture capital funds IDG Capital and Qiming Venture Partners. After Mobile Processor developer, Qualcomm, joined hands with Xiaomi, the smartphone company launched the first Android-based user-interface, MIUI. Xiaomi’s Mi1 smartphone was announced immediately next year, and since then there was no turning back.

Xiaomi Founding Team with Mr. Mr. Jun Lei (in red).

Rise of the Name

After three and a half years of entering the market, Xiaomi had employed a small number of 2,400 staff and sold its wares only in China, Hong Kong and Taiwan. Despite the limited market, Xiaomi managed to sell more than 7 million devices 2012. It is quite an impressive feat, keeping in mind that it was around the same time that Nokia and BlackBerry were struggling to reach up to the same number worldwide.

The expansion campaign did not stop just there. Xiaomi unveiled its second high-end phone, Xiaomi Mi2, in August 2012, and it sold 10 million devices in the next 11 months. In total, Xiaomi sold over 18.7 million smartphones in 2013 and 26.1 million smartphones in 2014.

Lei Jun, founder and Chief Executive Officer of China’s mobile company Xiaomi, shows Mi Notes at its launch in Beijing January 15, 2015.

It opened its first international expansion outside with their first destination in Singapore. On its Opening day, Xiaomi Mi3 batches were sold off within two minutes. Apart from Singapore, Xiaomi had also landed in the markets of Malaysia, Philippines and India. Xiaomi entered the Indian market via an exclusive retail partnership with Flipkart and offline retailers for the first time.

In April 2014, Xiaomi purchased a new domain- mi.com for $3.6 million. It became the most expensive domain name ever bought in China and it replaced xiaomi.com as the official website for Xiaomi.

Idea behind the Success

What separates Xiaomi from other smartphone companies is that the company sells its products at a cost that has virtually no profit margin. So, how does the company make a profit? It makes its money when customers pay for its cloud services like messaging and data backup. The company also pointed out its iconoclastic business model which instead of using traditional marketing and distribution practices, it heavily relies on the Internet to fuel its sales, thus reducing advertising and promotional costs.

Xiaomi Mi 4i was the first Xiaomi phone to see its initial release outside of China

Another reason the handset is so much cheaper than its competitors is because of the weekly/monthly Flash Sales. Releasing only a small quantity of phones per sale keeps down the production cost. But the only drawback is that eager customers have to wait, thus leading to a loss in sales.

In a Singapore flash sale, Xiaomi sells 5,000 Redmi Note units in 42 seconds.

To make up for its thin line profit margin, Xiaomi continues to sell the same phones for a long period of time, rather than coming out with a new handset every six months. This gives more flexibility with profits and ensures the sale of accessories too.

Here is a fun fact: Apart from its own website, the company also sells devices on Tmall.com, one of China’s largest online retail sites. Xiaomi not only sells its handsets here, but also sells accessories like headphones, T-Shirts and its toy rabbit mascots. The company claims it sold over 180,000 units of mascots in 2012 alone!

Controversies

With great success, criticism and controversies are sure to follow. Xiaomi’s first controversy was the similarity in the design of its products and Apple products. If this weren’t enough, Xiaomi CEO, Lei Jung cultivated a Steve Job image after reading his about him in college. Thus, Xiaomi was accused by Apple for copying their philosophy and mindset. Xiaomi stated that it followed a different set of principles. While many pointed out the similarities between the two companies, few others said the ability to customize the software based on user preferences sets Xiaomi apart.

In India, import and export of Xiaomi’s products were banned on December 9^th 2014. This was because of a complaint filed by Ericsson. Ericsson had alleged earlier this month that Xiaomi was selling Mediatek chipset powered smartphones through the site Xiaomishop.com. Ericcson claimed it to be a violation of the interim order of the Delhi High Court that allowed the company to sell only Qualcomm chipset based smartphones. Xiaomi, in turn, told the court that the site was not an authorized seller of its products.

Conclusion

Today, Xiaomi is the 3rd largest smartphone distributor. Many Chinese companies sprung up after the success story of Xiaomi across the world, with Huawei creating real impact with visible success. Along with controversies surrounding it, it will be interesting to see how Xiaomi copes in the global market. We will just have to wait and watch.

May 30, 2015
Xiaomi Plans to Invest in More Than a 100 Start-ups

Chinese electronics giant Xiaomi, which was once a start-up, has now grown to become the third largest consumer electronics firm in the world. It has gained a foothold in its home market as well as the native markets of other renowned electronics titans. The tech major is working towards turning every budding business into an empire.

According to a recent report, Xiaomi is betting on emerging businesses to help them copy the growth model of the company. The CEO of Xiaomi has announced that the company plans to invest in hundred startups to help them financially. This step is in accordance with the earlier move to back 20 startups that has shown productive outcomes.

Lei Jun commented about its plan that Xiaomi’s strategy is to enable the company into an “ecosystem empire” with major focus on software firms. He further stated –

We plan to move full steam ahead in its quest to become an ecosystem empire.

Investing in software firms would help Xiaomi link anything; consequentially aiding its product portfolio expansion.

Recently Xiaomi’s backed robotics manufacturer Ninebot acquired Segway. The buyout seized the attention of the industry-watchers as a small industry is expanding rapidly, but more than that, it was a call for big celebration for Xiaomi. Late last year, Xiaomi became the world’s most valuable technology start-up after gaining $1.1 billion from investors.

Xiaomi has made use of its small associates and has launched a bunch of smart products such as air purifiers, smart bulbs, smart televisions, etc. With its new approach to software firms, we may soon hear of some unconventional innovations amongst their smartphones.

Meanwhile, Xiaomi has shown significant interest in the Indian market. It has announced to establish a physical warehouse and an R&D center in Southern parts of India.

April 20, 2015
In 12 Hours, Xiaomi Sold Over 2 Million Smartphones Across Seven Asian Countries

On the occasion of completing five years on 8^th April, Xiaomi had decided to give the public something worthwhile. Hence, the Chinese firm staged a 12-hour ‘fan festival’ across seven Asian countries. This event saw a total sale of 2.12 million smartphones, more than 38,000 Mi TVs and over 770,000 smart appliances, amounting to a revenue of RMB 2.08 billion ($335 million).

In the words of Xiaomi, the company has truly established itself as an Internet company, with e-commerce proving to be the best way to reach its customers. In 2014 alone, Xiaomi sold over 61 million handsets worldwide and are aiming to complete a 100 million by the end of this year. This feat has landed them as the third largest mobile manufacturer in the world. The company has been on a tear lately, quadrupling its valuation while other established handset makers, including smartphone giant Samsung, have stumbled.

Xiaomi will soon be launching its Mi.com online store in US and Europe, although this store will only be selling accessories like the Mi band and the ridiculously cheap power banks.

Xiaomi has been grabbing headlines in the Indian market too with the release of the Red Mi, Mi Pad and many other products. You can read more about it here.

April 9, 2015
Xiaomi’s Last Sale Sells 90,000 Units Before its Probable Ban

Xiaomi is in a bit of a legal tussle with Swedish communication giant Ericsson. The Chinese smartphone maker was banned by the Delhi High Court(DHC) on a patent infringement complaint by Ericsson. The court later allowed the company to sell devices with Qualcomm chipsets until January 8th. Xiaomi is making the best of this sale period afforded to it by the DHC and brought huge stocks for its flash sale today.

According to the companies official FB page they had 50,000 handsets of the Redmi Note 4G and 40,000 pieces of the Redmi 1S. This was the first time the company brought two devices for a flash sale in a single day and the reason is pretty apparent, its the ban that starts from January 9th.

50000 Redmi Note 4G were sold in 5 Seconds

40000 Redmi 1S were sold in 4 Seconds

As usual only only folks who registered yesterday, the 5th of January were allowed to participate in the sale. The flash sale for the Redmi Note 4G was scheduled at 2 PM whereas the Redmi 1S sale was scheduled at 5 PM.

According to Xiaomi India head Manu Kumar Jain, the Redmi Note 4G went out of stock in just 5 seconds. He also added that there were more that 5,00,000 registration for todays sale.

Today’s sales of Redmi Note 4G: went out of stock within 5 seconds. Thank you Mi fans for your awesome support. @MiIndiaOfficial

— Manu Kumar Jain (@manukumarjain) January 6, 2015

The Redmi 1S which went on sale at 5.00 PM too went out of stock almost immediately. According to Manu Jain, it went off the shelves in 4 seconds. Today’s sale shows that the interest in the handsets by Xiaomi hasn’t waned much in India. The company is growing strong worldwide and its strategy of providing high quality specs through online flash sales have really paid off.

Today’s sales of Redmi 1S: went out of stock within 4 seconds. Thank you Mi fans for your love and support. @MiIndiaOfficial — Manu Kumar Jain (@manukumarjain) January 6, 2015

The next sale is listed to be held on January 13 which is still tentative as the ban on the sale of the devices begins starting January 9th. The High Court of Delhi has set a date of hearing on February 5th 2015. The company now has a big fan base in India and it will be disappointing news for the company if it loses on such a giant market.

Update: Xiaomi has reported later that due to unforeseen logistic delays they were only able to bring 20,000 units of the Redmi 1S for yesterday’s sale.

January 6, 2015
Xiaomi Redmi 1S with LTE Support to be Announced Soon

Xiaomi will soon be announcing the LTE variant of its highly popular Redmi 1S. The Chinese manufacturer who was recently banned from selling its products in India, teased on a social networking site Weibo that it plans to unwrap the LTE compatible Redmi 1S on Friday.

The listing further stated that the smartphone would come with a 64 bit Snapdragon 410 processor bundled with 1GB of RAM. The smartphone would feature a 4.7 inch 720p display and would be equipped with both front and rear camera units at 2MP and 8MP respectively. The dual-SIM phone will have support for TD-LTE and LTE-FDD networks. Meanwhile, the leaked image also points to a thinner bezel compared to its predecessor. It also sports an OGS screen which should enhance colour and display quality. Sources also reveal additional colour options for the Redmi 1S with LTE support.

There are no details available as of now regarding its launch in India; however an announcement is expected to be made on January 4th.

December 31, 2014
Xiaomi to Resume Sales of Redmi 1s from December 23rd

Update : The company has updated Redmi Note’s Flipkart page and now the popular phablet is up for registeration. The sale will start at 2PM on 23rd December.

For those who missed out on the opportunity to acquire the Redmi 1s earlier, here is your chance. Hugo Barra, Xiaomi’s VP announced on the Mi India Facebook page that his company will be holding yet another flash sale on December 23rd through their online partner Flipkart.

Last week the Delhi High Court had announced a ban on the sale of Xiaomi devices in India due to patent infringement. However, a day ago the High Court passed an order allowing the company to sell devices powered by Qualcomm chipsets.

Without wasting any time, Xiaomi’s VP Hugo Barra announced through their social media page that Xiaomi will be resuming the sale of the Redmi 1s through Flipkart on December 23rd. He also added in this post that the Redmi Note (4G variant) is not far behind.

After a series of litigations there is finally something to look forward for the Xiaomi fans. Stay updated with iGyaan for details regarding the next flash sale.

December 17, 2014
Xiaomi to Resume Sales (But There’s a Catch)

Chinese smartphone maker Xiaomi has been reportedly granted some reprieve after announcing the ban on the sale of their handsets in India last week. As per a tweet by Press Trust of India (PTI) the Delhi High Court today permitted the sale of their smartphones powered by Qualcomm chipsets till January 8 in India.

Prior to the ban, the company was selling two smartphones in the country: Redmi 1S and Redmi Note. Redmi 1s runs on a Qualcomm chipset, while Redmi Note is powered by a MediaTek processor. This release would imply that Xiaomi can sell the Redmi 1s for nearly a month. Additionally, Xiaomi had earlier planned to launch Redmi Note 4G in December, which is also powered by a Qualcomm processor implying that this too could be sold till January 8th.

Delhi HC permits Xiaomi to sell and import Qualcomm chipset based handsets till January 8.

— Press Trust of India (@PTI_News) December 16, 2014

However no official word is out on the much awaited Xiaomi Mi4. Although Xiaomi planned to launch this device with a Qualcomm Snapdragon 801, however it still remains to be seen whether they will go ahead with the launch or wait patiently till the dust settles.

Last week the Delhi High Court had passed an injunction suspending any import or sale of smartphones in India due to patent infringement complaints by Swedish telecom giant Ericsson. The court is scheduled to hear the case on February 5, so it is likely that Xiaomi phones will again be banned in the country from 9th January unless the court passes another similar order.

However, in the mean time, Xiaomi has three more ‘Happy Tuesdays’ in which they can resume their flash sales and reach out to maximum number of aggrieved customers.

December 16, 2014
The Xiaomi Wave: Here’s All You Need to Know About the Xiaomi Ban
It has been a busy last week for Xiaomi. The Delhi High Court has put a halt on Xiaomi’s surging sales in India by passing an ex-parte injunction order. Ericsson India filed a case against Xiaomi for infringement of patents under the IPR Rules, 2007. This adverse order came into light when Xiaomi allegedly refused to reply to Ericsson’s repeated communications. The injunctions subsequently led to a suspension of sales through Flipkart and also a shut down of their Xiaomi India Site.

Xiaomi continues to insist that they have not received any notice but will take all necessary measure to comply with all the rules and regulations.

The Criers: Those Adversely Affected
- Xiaomi
Although Xiaomi does not seem to be panicking, however this suspension would adversely affect their company both strategically and financially. India is among the largest markets for the Xiaomi handsets and this ban would be a big blow for this Chinese company. On the other hand, Xiaomi seem determined to take necessary legal action to lift the ban as soon as possible.
- The Xiaomi Fans
Of course the Xiaomi fans will also immensely disappointed. Xiaomi had entered the Indian markets earlier this year in the month of July with great anticipation and it surpassed all expectation with flying colours. This ban would imply no more devices would be sold till further notice. To add fuel to the fire, this injunction would also imply ban to the much anticipated Xiaomi Mi4 which was set to release in India at the end of this month.

The Smilers : Those who Benefited

Xiaomi, however, has not been the only budget smartphone launched this year . There has been an influx of impressive smartphones in 2014. This interdiction would mean good news for other smartphone manufacturers like OnePlus and Motorola, who can seek a competitive edge in the market. Other domestic companies like Xolo, Asus, Iris who earlier didn’t stand a chance infront of this impressive device now have the opportunity to establish themselves till this case is settled.

What Happens Now ?

Although Xiaomi has ruined plans for many domestic smartphone manufacturers; it is a necessary evil. Xiaomi has forced the domestic manufacturers to also introduce budget smartphones to compete in the market. This healthy competition has led to the growth of the smartphone industry in India.

The bad news for Xiaomi, however, is that court hearings in Delhi are never dependable. Although the ban is till February 5 as of now; however, when Xiaomi will be able to sell it handsets again cannot be said. A similar incident took place with Chinese manufacturer Gionee, who chose to resolve the same out of court. Though this may seem like an ideal situation, however Xiaomi is not a cash rich company and does not have any corporate offices in India.

Although Xiaomi seems adamant to stay; only time will tell whether they will actually survive in this cut throat market.
December 14, 2014
Xiaomi Reportedly Banned From Importing and Selling Handsets in India

The Delhi High Court has reportedly put a halt on Xiaomi’s surging sales in India by passing an ex-parte injunction order. Hearing a case filed by Ericsson India against Xiaomi, the court on Monday passed an ex parte order from “selling, advertising, manufacturing or importing devices” that infringe upon Ericsson’s patents. In fact, the judge also directed the customs officials to stop the imports under the IPR Rules, 2007. Moreover, local commissioners too have been appointed to visit Xiaomi India offices to ensure the implementation of the order.

The adverse order in the case seems to have come about after Xiaomi allegedly ignored Ericsson’s repeated communications. Reports indicate that Flipkart is also implicated in the case, and that the Delhi High Court granted the injunction after Xiaomi did not respond to Ericsson’s missives.

In an emailed statement to NDTV Gadgets, Xiaomi India Head, Manu Jain, responded to the Delhi High Court Injunction

While we haven’t received an official notice from the Delhi High Court, our legal team is currently evaluating the situation based on the information we have.

India is a very important market for Xiaomi and we will respond promptly as needed and in full compliance with Indian laws. Moreover, we are open to working with Ericsson to resolve this matter amicably.

Xiaomi had launched its India operations in July 2014 and the country is the second largest market for the company and also the fastest growing one. It sells phones exclusively through online marketplace Flipkart via flash sales in limited numbers. In such a limited span Xiaomi has made an unparalleled impact completely throwing the domestic smart phone players off their game.

Will this injunction imply the end of Xiaomi in India? A similar incident happened with Gionee, early this year when Ericsson had managed to halt sales for the brand, but the case was resolved out of court in a matter of hours.

In Xiaomi’s case, the company may not have enough “moolah” to get away with an out of court settlement. Will India witness the rise and fall of one of the most dynamic smartphone company all in a span of 6 months?

Only time will tell…!

Update :

Not just sales, Xiaomi now shuts down its Indian website too. Following the suspension of its handsets through Flipkart, Xiaomi shut down its Indian website. The company has put out an announcement, which now contains only one page that shows the letter from its global vice president Hugo Barra addressing the Xiaomi fans. On the brighter side, the facebook page of Xiaomi is still live, so all the Xiaomi followers can stay updated.

December 10, 2014