The Chinese smartphone manufacturer Xiaomi has set high goals for its operations in India, hoping to ship twice as many devices—700 million—during the course of the next ten years. As the business celebrates its tenth anniversary in India, Xiaomi President Muralikrishnan B outlined key accomplishments, pointing out that during the last ten years, Xiaomi has shipped 250 million smartphones and 350 million gadgets in total across a variety of categories.
- It gives me great pleasure to announce that in the ten years that Xiaomi has been operating in India, we have supplied 25 crore smartphones, 250 million smartphones, and 35 crore devices in total across all categories. The period for this is 2014–2024. As we approach the ten years from now, we aim to treble our shipments to 700 million devices in India,” Xiaomi Company President Muralikrishnan stated.
While speaking about Xiaomi’s intentions for domestic production, Muralikrishnan hinted to a possible move into the Indian market for AIoT (Internet of Things) devices. Additionally, he brought up the ongoing conversations regarding producing Xiaomi’s tablet portfolio locally.
- In India, audio goods are manufactured, along with smartphones and smart televisions. We are presently investigating prospects for localizing an array of other AI-powered IoT devices. Expanding and strengthening competency localization in India is another goal we have set ourselves. We have previously talked about this in the past when it comes to basic things, like battery charger cords, which are found in India. We will take a more thorough and comprehensive approach to component localization. Approximately 35% of our total bill of material (BOM) is made up of locally obtained non-semiconductors. We anticipate that percentage to increase to 55 percent over the course of the next two years,” Muralikrishnan said.
Xiaomi has strengthened its local manufacturing capabilities in India by forming alliances with important manufacturers including Dixon Technologies, Foxconn, Optiemus, and BYD.
Achieving greater local value addition is still one of Xiaomi’s top priorities despite the difficulties caused by India’s access to electronic components.
Analysts from different research organizations have given differing projections for Xiaomi’s smartphone market share in the March 2024 quarter in relation to the company’s performance in the Indian market. Xiaomi is ranked slightly behind Samsung by Cybermedia Research (18.6%), Counterpoint Research (18.8%), and IDC (around 13%) for its market share.
All three research organizations concur that Xiaomi is among the top four smartphone brands in India, despite these differences.
Samsung has recently surpassed Xiaomi to become the market leader in the smart TV area, according to Counterpoint Research data. LG and Xiaomi are next in line, with 15 and 12 percent of the market share, respectively.
While acknowledging a period of Xiaomi’s market share drop, Muralikrishnan stressed a significant rebound in the latter half of 2023, reflecting on the hardships faced during the COVID-19 epidemic.
- Muralikrishnan went on to say, “We considered 2023 to be the year of recharge, refresh, and reset. In the second half of 2023, after we refocused our approach and resumed our growth trajectory, we regained the growth momentum. Compared to the market, we have grown significantly faster.
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