Xiaomi doesn't share 2016 sales numbers after missing last year's target


Xiaomi, currently one of the top Chinese smartphone makers, traditionally shares its device sales numbers at the end of the year, but has now decided to omit such information for 2016, with CEO Lei Jun admitting the company moved “too fast” in its expansion. This comes as no surprise after the company's failure to meet last year's shipment target, along with the relative stagnation of its growth in the past 24 months. Last year was not particularly kind to the company, with its market share plummeting to the fourth place in its home country, where it held the crown just a few years back.

Historically, the company has a track record of explosive growth in terms of both popularity and sales, particularly during the 2012-2014 period. 2015, however, saw the company increase its sales by just 14.5 percent, as opposed to the more than 200 percent it achieved the year before. This trend appears to have continued in 2016, which isn't particularly surprising, seeing as the global smartphone market hasn't been experiencing much growth lately, while the company's competitors, particularly Vivo and Oppo, have been steadily increasing their market share in China.


For 2017, the company has expressed interest in moving beyond being just a smartphone vendor, with particular focus put on developing artificial intelligence and providing an internet banking platform. The company also plans to open a number of new offline retail locations, claiming it's “not satisfied with just being an e-commerce smartphone brand”. Shaking up its revenue model looks like the right move, as the company has recently stated that its smartphone sales are unprofitable, and as a result it has to rely solely on side ventures, such as its internet services and Mi ecosystem of smart devices. This shift in focus, unfortunately, has resulted in the company's decision not to enter the US smartphone market this year, which is sad news for fans of the futuristic Mi Mix, which is unlikely to get an official stateside release.

via TechCrunch

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21 Comments

1. mahima

Posts: 731; Member since: Nov 20, 2014

The growth rate in India is far better than last year...this yeat they sold 2million device in India most of them are Redmi 3 and Redmi note 3 family which are always out of stock. So, i think they are doing much better than last year

2. mahima

Posts: 731; Member since: Nov 20, 2014

2 million plus only in quarter 3 my bad...

5. Ticklemyfancy

Posts: 214; Member since: Oct 09, 2016

And yet they failed to sell any flagship of 2016 in India. And I don't consider the underclocked MI5 to be a flagship tbh.They should be more responsive and grateful to their second biggest market.

7. mahima

Posts: 731; Member since: Nov 20, 2014

yeah i hate them for that... the only reason they can come up with is that they focus only in one flagship!... bs if they want to get good profit, they should bring mi note 2 and next flagship, if not, oneplus will maximize their profit at the price point at the same time, redmi 3 and refmi note 3 are undeniable

10. Ticklemyfancy

Posts: 214; Member since: Oct 09, 2016

Indeed

3. ibend

Posts: 6747; Member since: Sep 30, 2014

thanks to their lack of production capacity.. their new models always sold out from gearbest and other store, and when it's available, the hype already dead and low review score already released, lol... and they're too focusing on low-end, and keep cloning their own phone.. i.e redmi 3, redmi 3x, redmi 3 pro, redmi 3s, and redmi 3 prime (did they really need this much variant for sub-$150 smartphone?)

4. aman5mathur

Posts: 241; Member since: Mar 28, 2014

They did release the news of generating a revenue of more than 1$ billion from india

6. CreeDiddy

Posts: 2215; Member since: Nov 04, 2011

There is a reason why sales numbers are not discussed for Android manufacturers...At the end of the day you run your business to profit and that is why many Android manufacturer's fail miserably because of their idea of providing choice to the consumer in a highly congested OS race.

13. tedkord

Posts: 17365; Member since: Jun 17, 2009

Samsung makes huge profits of its Android phones, and never releases numbers. But, I guess your theory explains why Apple decided not to release wearable sales numbers, or iPhone 7 opening weekend numbers. Right?

14. kiko007

Posts: 7493; Member since: Feb 17, 2016

Samsung is the only one though. Can you name an OEM outside of Sammy making any profit at all? Regardless of how you may view the Android business model from a personal perspective, from a professional perspective, its pretty unappealing.

19. meanestgenius

Posts: 22108; Member since: May 28, 2014

Huawei and BBK.

8. Vinayakn73

Posts: 207; Member since: Oct 05, 2011

Xiaomi never communicates with their customers. If you go on MIUI forum you'll see how many users are frustrated with their devices and they keep reporting issues and submitting bug reports. But Xiaomi is one hard shell Its don't give damn about it and never provide fix for major bugs. One of the main issue with mi devices are pathetic audio quality recording which is only at 96kbps which is so bad. The recorded audio is quite poor, with various artefacts and unpleasant creaks due to the low bitrate.

9. Vinayakn73

Posts: 207; Member since: Oct 05, 2011

Xiaomi never communicates with their customers. If you go on MIUI forum you'll see how many users are frustrated with their devices and they keep reporting issues and submitting bug reports. But Xiaomi is one hard shell Its don't give damn about it and never provide fix for major bugs. One of the main issue with mi devices are pathetic audio quality recording which is only at 96kbps which is so bad. The recorded audio is quite poor, with various artefacts and unpleasant creaks due to the low bitrate.

11. athos07m

Posts: 137; Member since: Apr 22, 2012

Redmi, redmi note, redmi pro - mi, mi plus, mi note. 6 tiers of phones they established, all they had to is refresh every tier, two months at a time, and let these updates be meaningful. If only I got to govern a well established phone maker like Xiaomi, I'd make it rain.

15. Alpha1

Posts: 100; Member since: Jul 06, 2016

If you can make it rain over at Xiaomi, why don't you take over HTC. I'd like to see what you can do.

18. athos07m

Posts: 137; Member since: Apr 22, 2012

It would be a different task, but it would be doable. I'd also take the HTC challenge immediately :)

12. zeppo

Posts: 200; Member since: Jul 21, 2015

They're worse than Samsung in term of naming schemes, release too many models left and right every weeks.

16. kishore3k

Posts: 102; Member since: Mar 11, 2016

Even though their smartphones sales declines they are however compensated by selling smart home products of their hardware incubation model which has over 100 products from about 77 companies

21. mixedfish

Posts: 1557; Member since: Nov 17, 2013

Think about it and ask yourself if home appliances can ever replace smartphone revenue streams. When was the last time you read headlines where TVs or air purifiers sold millions of units in 24 hours.

17. xfire99

Posts: 1205; Member since: Mar 14, 2012

They have alot products that I want to buy, too bad most of theirs products doesnt sells outsdie China.

20. mixedfish

Posts: 1557; Member since: Nov 17, 2013

They started off being a big brand 'disrupter', Chinese buyers flocked to their phones because they were cheap and provided reasonable value products for that money. The thing about appealing to the lowest common denominator crowd is that they will never be loyal, after all they didn't choose your brand because they were fans or really liked the design. Now you have several companies doing the exact same thing by disrupting the disrupter and Xiaomi finds itself in a weird place where they have no fans to fall back on, it's a race to the bottom.

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