In an effort to rival Apple and Samsung for market share in the high-end segment, Xiaomi unveiled its flagship mobile phone on a worldwide scale on Sunday. The Xiaomi 13 and 13 Pro were first released in China in December. However, the Beijing-based brand is now shipping the devices to foreign countries.
The Xiaomi 13 Pro device features the most recent Snapdragon 8 Gen 2 chipset from an American company, Qualcomm. It comes with a 6.73-inch touchscreen. It has a triple-lens camera and other high-end features like ultra-fast charging. The brand bragged about the features of the camera it “co-engineered” with the German company Leica.
In terms of price, the starting price of the Xiaomi 13 is 999 euros ($1,053). However, the higher-end Pro model starts at 1,299 euros ($1,370). According to research company IDC, Xiaomi had a difficult year in 2022, with its mobile phone shipments falling 26% year over year. This is the largest decline among the top five largest handset makers. The most recent financial results accessible show that the firm suffered losses in the third quarter of 2022.
Mobile phone market continues to grow
Xiaomi has experienced a number of challenges, most notably a more challenging socioeconomic climate brought on by a slowing Chinese economy. IDC estimates that 1.21 billion mobile phones were delivered worldwide in 2022, which is the least amount of yearly sales since 2013. Neil Mawston, an analyst at TechInsights, told CNBC via email
“Xiaomi is facing multiple headwinds inside China from an ever-popular Apple iPhone, a surprisingly strong Honor, and fickle Chinese consumers who often switch between Android hardware brands in a flash,”
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Recall that Honor only became independent after the U.S. ban on Huawei forced the company to sell Honor.
Through the years, Xiaomi has grown to be one of the largest brands of mobile phones, thanks to a plan that involves releasing high-end products at prices that are incredibly low. It began seeking to enter global marketplaces about seven years ago, using a similar approach. The upper end of the market, where margins are greater and the market is still growing, is where it is now aiming to make inroads, though.
Xiaomi will face a tough task taking on Apple and Samsung
According to statistics from Canalys, the market share of high-end mobile phones, or those that cost more than $800, increased from 11% in 2020 to 18% in 2022. It will be difficult for Xiaomi to compete with Apple and Samsung when it moves up into the luxury category. Canalys also claims that 92% of the high-end market in 2022 was made up of Samsung and Apple products. Runar Bjørhovde, a research analyst at Canalys, told CNBC via email
“Competing with Apple and Samsung is incredibly difficult. Not just matching market leading products, but particularly going up against enormous companies with exceptional brand awareness, high-end perceptions, experience focused solutions and product ecosystems with high user-stickiness,” Xiaomi is the latest Chinese smartphone player that is trying to crack the high-end of the market. Oppo launched its first foldable phone for the overseas market this month that costs more than $1,000.
The most recent Chinese mobile phone brand making an attempt to break into the high-end market is Xiaomi. This month, Oppo unveiled its first folding phone for the global market, which costs more than $1,000.
Chinese brand Xiaomi creates, develops, and markets laptops, household appliances, mobile phones, mobile apps, and other devices. The company’s HQ is in Beijing, China, and it was created in 2010 by Lei Jun and a few others. With a sizable reach in nations such as China, India, and Europe, Xiaomi has grown to become one of the biggest mobile phone brands on the planet. The company’s mobile phones are famous for their premium features and low cost. They quite often include the newest techs like rising displays, potent CPUs, and savvy cameras.
In addition to mobile phones, Xiaomi also produces a wide range of other consumer electronics products, including smart TVs, laptops, fitness trackers, air purifiers, and more. The company has a strong focus on innovation and has been awarded numerous patents for its technological advancements. Overall, Xiaomi has become a major player in the global consumer electronics market and continues to expand its offerings and reach new customers around the world.