Xiaomi Smartphones Dominate Samsung and Apple in China

Xiaomi Smartphones Dominate Samsung and Apple in China

Xiaomi Corp, privately held smartphone-maker company in Beijing, is looking to take the world by storm. The four-year-old company is about to surpass market-leader Samsung Electronics, the Korean company, to become the No. 1 smartphone maker in China.

It has shipped 15 million devices in the second quarter and Samsung shipped 13.2 million smartphones. This provides it with a 14% share in Chinese market, up from Samsung's 12% share.

Xiaomi also recently surpassed Apple Inc. (AAPL: US) to become the second largest smartphone company in China in terms of units sold.

Jessica Kwee, Singapore-based analyst for Canalys, says, "Xiaomi does have the potential to be a disruptive force beyond China and international vendors should take note. Aggressive pricing points for top-notch products are an important reason that led to success".

After surpassing Samsung, the biggest-selling producer of cell phones, Xiaomi has proved itself to be the best smartphone maker in home markets of China.

The Mi4, its flagship smartphone, flaunts features that can match up to Samsung's Galaxy S5, with a 2.5 GHz quad-core Snapdragon 801 processor, 3GB RAM and a 13-megapixel camera. The S5, on the other hand, runs on a 2.5GHz quad-core Krait chipset, 2GB of RAM and a 16-megapixel camera. But while the Samsung product costs more than $500 in China, Xiaomi sells its top-of-the-line phone for a little more than $100.

Company's e-commerce website offers special software that other Android devices do not offer, including Xiaomi's customized Android interface called Miui.

Hugo Barra, the former head of Google's Android division, joined Xiaomi in 2013. Lin Bin, another ex-Google executive, is Xiaomi's president. The combination of low prices for high-end smart phones and creative marketing efforts has paved a way for this success.

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