How Xiaomi, the Chinese company of "ugly, recycled and cheap" mobile phones, plans to conquer the world with its new phone



Another model, a new brand, a fast processor and an economical price.

Xiaomi, the Chinese company that became the fourth largest smartphone manufacturer in the world in 2018, presented its new model this week.

It is about Little F1 It has the latest Snapdragon chip, a 4000 mAh battery (larger than normal) and up to 8 GB of RAM, similar to the Samsung Galaxy Note 9.

However, the price will be noticeably different from the last.

In India, where it starts selling next week, the basic model, which has 6 GB of RAM and 64 GB of internal storage, costs about US $ 300, while the high-end version, with a synthetic fiber back and more memory and storage costs about US $ 430.

To have an idea, is half the price of the main models of competing brands, not to mention other giants such as Apple or Samsung itself.

This has led some to consider that the launch could lead other companies to reconsider their prices.

"It has the best Qualcomm processor you can get right now and basically it costs about half the price of some rivals," explains Mike Lowe, editor-in-chief of the Pocket-ribbon device site.

XiamoiCopyright of the imageXiaomi
Caption imageThe new brand, Poco, was presented this week in Delhi, India.

The Little F1 has so far only been confirmed for India, where it will be launched on August 29, but the Chinese manufacturer said it plans to bring the phone to around 50 countries.

The new model comes at a time of revival for Xiaomi, which, after an abrupt fall in sales in 2016, recovered in the past two years to become the fourth largest mobile phone manufacturer in the world.

Where does this success go?

"Ugly", "efficient" and "cheap"

According to specialized sites, one of the biggest keys to the success of the company make concessions to adjust the price.

For example, the new model uses a crystal for the screen associated with a five-year-old version of the manufacturer Corning, a model that is three generations of the company's latest launch.

The cameras of their phones they have no stabilization optics image and, according to the technology site Verge, the body of the phone easily picks up fat and the sound quality is "limited".

Many reviews indicate that the phone generally looks "ugly", that they are "outdated" or that they are using "recycled parts".

However, according to the review of Android Central, "although it does not seem quality for more efforts being made with the imagination", it is a good offer for some consumers.

"The phone itself is excellent and offers an unmatched value for money in this category", says the site.

The market

Ian Fogg, an analyst in the OpenSignal mobile industry, believes that another element to be taken into account is that Xiaomi is now entering markets that he has not explored before and opens up to discussions with mobile operators.

"And now they use Qualcomm processors, which make operators feel comfortable and used to dealing with them, making their products more attractive to them," he says.

Asus ZenFone 5Z and OnePlus 6Copyright of the imageASUS / ONEPLUS
Caption imageModels such as the ZenFone 5Z from Asus or the OnePlus cost more than twice as much as the Little F1.

According to the specialist, this is crucial, because if many phones are sold directly to consumers in South or Southeast Asia, most phones in Europe will be sold via the operators.

The market research agency IDC is now of the opinion that the success of Xiaomi is partly due to to the increase in turnover through physical storeswhile maintaining its "domain in the online space".

The launch of Poco F1 coincides with the publication of the first financial results of the company since last June stopped trading on the Hong Kong stock exchange.

The figures showed a net profit of US $ 2,100 million, compared to a loss for an almost equal amount in the same period in 2017.

According to these statistics, sales grew by 68% this year, largely due to the popularity of their smartphones.


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