Xiaomi Lines Up US Foray; Will it be Able to Make it Big?

March 6, 2018, By Sanjeev Ramachandran

Xiaomi, the renowned smartphone brand in the Indian and Chinese market, is all set to make its American foray. If plans work out as expected, the US entry would happen by the beginning of 2019.

The US smart phone market is dominated by Apple and Samsung and so the effort will be quite challenging for the company. The products from Xiaomi had become hugely successful in India due to their pricing that has been kept under INR 15,000.

We hear the company has decided to go all out to make its US foray. Xiaomi has been selling its products including Mi TV, headphones, battery packs and the like in the US market. Apart from these, some products are available at the Mi online store in the US market.

We all know that the smartphone market in the US is very much different from that of India and China. Xiaomi’s Redmi series, Redmi Note 4, Redmi 4, Redmi 4A had turned out to be prominent handsets in the Indian market. However, handsets like Mi Mix 2 with edge to edge display and Mi Max 2 failed to make it big.

Huawei, Oppo and Vivo are the company’s rivals in its home market, China. These three smart phone vendors are the top three companies in China. According to the numbers put out by research firm Canalys for the fourth quarter of 2017, Apple stands fourth in the China market place, followed by Xiaomi.

Xiaomi’s rivals in the US market are Apple and Samsung which dominate the US smartphone market. The North American market is driven by carrier deals. Recently, Huawei was not able to launch its Mate 10 Pro with AT&T and Verizon, as the deals had fallen through.

Besides, Chinese smartphone vendors face scrutiny from the part of the government agencies in the US. There were reports that heads of CIA, FBI and NSA had warned customers against using smartphones from Huawei. Xiaomi might face the same difficulties before building a brand image in the market. We need to wait and watch as to what will the Xiaomi strategy be.

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