Last year Xiaomi was the fourth in the top 10 Chinese smartphone makers. This was a huge regress in comparison to 2015 when the Chinese Apple was the number 1 manufacturer in China. Many were accusing Xiaomi in making out-of-competition devices, while the others were sure the reason why the fastest growing start-up gives up was related to the behavior of monkey. This term usually refers to the situation when a company designs good products but customers couldn’t take their hands on them because of empty stores. The same happened with the first phone of the company launched in 2017. The Xiaomi Redmi Note 4X was sold out immediately after its launch. That’s why many Xiaomi haters have predicted an upcoming decease of the company. However, the Xaomi sales numbers of Q1, 2017 gave hope not all is lost. Even Kevin Wang, a Chinese tech influencer said if the company sells 70 million smartphones it will continue to grow and overcome the crisis. Now we are talking about 90 million units. Let’s see how the company itself and the whole net reacts to this.
According to IDC, Xiaomi Q2 shipments reached 21.2 million and the company got 6.2% of market share. In comparison to 2016 data, this is a 58.9% year over year growth. The company shipped 13.3 million units in Q2, 2016, and got a market share of 3.9% only. As for Xiaomi itself, when the Mi 5X was announced, the manufacturer said their Q2 shipments reach 23.16 million. Thus it is up 70 percent from Q1 and sets a new record for the company. Moreover, Lei Jun said there is no company to be up after a decline. A quick calculation shows the company has sold over 60 million units in three quarters if taking into account the date for Q3 revealed by Kevin Wang (27 million units). So it’s quite possible to reach 90 million and become the fifth company in the world.
So seems Xiaomi has educated the monkey. A few months back we wrote about the 100th Mi store opened in China. Now there are over 140 stores. Moreover, the company is also partnering with online platforms to boost its visibility. At last, as Lei Jun said they are going to communicate with global suppliers in order to solve the problem of product supply. So the early goal of reaching $14.7 billion (100 billion Yuan) for 2017, along with a shipments target of 100 million for 2018 sounds quite possible.
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