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Xiaomi wants to beat Huawei abroad, but it’s losing ground at home
Xiaomi wants to take advantage of Huawei’s US trade ban by growing internationally, but it’s suffering inside China
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This article originally appeared on ABACUS
At one point, Xiaomi made the best-selling smartphones in China. In 2014 and 2015, all eyes (and wallets) were on the brand. But things are different these days.
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The Beijing-based smartphone maker saw sales decline 38% in China compared with last year, according to market analysis company Counterpoint.
How Xiaomi forged a unique path
Xiaomi now sits at fifth place in its home market as competition from other local brands has ramped up. So the company is looking overseas for growth, which is precisely where competitor Huawei has fallen on hard times because of US trade restrictions.
Xiaomi built its brand in China by offering budget phones with good hardware. But everyone else soon started copying the model. Brands like Oppo and Vivo, along with Huawei sub-brand Honor, flooded the market with low-end and mid-range phones, sometimes with brave design features to attract more attention.
How Oppo became one of the biggest smartphone makers in China
Xiaomi followed Huawei’s tactic by creating a low-cost sub-brand of its own called Redmi. The sub-brand has also tried to move upmarket, but things haven’t been going smoothly.
Xiaomi spin-off Redmi wants to own the budget phone market
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