A banner quarter for Xiaomi helped the Chinese mobile company capture No. 2 in global smartphone shipments, according to newly released Q2 figures from the research company Canalys. This is quite fantastic growth for the company, an increase of 83% compared to the year for the quarter and to capture 17% of the global market.
The wave puts Xiaomi at No. 2, globally, behind only Samsung’s 19% by a relatively small margin. Apple is in third place with 14% (after its own solid growth has slowed down), while other Chinese manufacturers Oppo and Vivo round out the top five at 10% per piece.
Huawei is of course nowhere to be seen among the best companies. This is a pretty massive decline, due to blacklisting that has both banned the company from certain markets (namely the US) and cut off access to US mobile products, including Google̵
Canalys cites aggressive pricing as a major factor in Xiaomi’s success – especially in contrast to premium prices from Samsung and Apple.
“It is now transforming the business model from challenger to sitting, with initiatives such as consolidation of channel partners and more careful management of older stocks in the open market,” said research firm Ben Stanton in a statement. “It’s still largely skewed towards the mass market, but compared to Samsung and Apple, the average selling price is around 40% and 75% cheaper, respectively. So a key priority for Xiaomi this year is to increase sales of advanced devices, such as the Mi 11 Ultra. ”
The company is certainly not a well-known name in the United States (the company has dealt with its own problems here), but lately it has found particular success in Latin America, Africa and Western Europe. It seems that there are still many markets available to continue the expansion as it seems to take on Samsung, although Oppo and Vivo hope to continue their own respective rapid global growth.