 |
| Xiaomi smartphone shipments outpaced Apple phones |
A new report by analyst Canalys shows that smartphone maker Xiaomi overtook Apple to become the second largest smartphone maker in the second quarter.
Xiaomi has a 17% share of global smartphone shipments, ahead of Apple with a 14% share and behind Samsung with a 19% share.
“Xiaomi’s overseas business has grown rapidly,” Canalys said, noting that shipments in Latin America were up 300% year-on-year, and in Western Europe were up 50% year-on-year.
The annual growth rate of smartphone shipments from the Chinese smartphone maker is 83%, compared to 15% for Samsung and 1% for Apple.
However, Canalys noted that Xiaomi phones are still widely marketed and that the average retail price of its devices is 75% lower than Apple's.
But the Beijing-based company is now looking to enter the high-end market. At the beginning of the year, it launched the Mi 11 Ultra, which is a high-end smartphone with a starting price of $928. It also launched the first foldable phone Mi Mix Fold.
Xiaomi outperforms Apple
This price range enables Xiaomi to compete with Apple and Samsung in the high-end market. But domestic competitors Oppo and Vivo are also struggling to penetrate the high-end market.
Canalys said: “It's an uphill battle because Oppo and Vivo have a common goal. Both are willing to spend huge amounts of money on online marketing to build their own brands in ways that Xiaomi doesn't.
"In the face of global scarcity, all suppliers are working hard to ensure the supply of spare parts," she added. But Xiaomi's next goal is to replace Samsung as the world's biggest seller.
Xiaomi has benefited from the fate of Huawei, which was once the world's largest smartphone maker. But US sanctions have blocked important sources for the Chinese company, including software and chips. This led to a decrease in sales.
Although smartphones still make up the majority of Xiaomi's sales, they want to open up new business areas.
In March of this year, the tech company announced that it would start an electric car project and invest $10 billion over the next 10 years.