11/27/2016

HUGO BARRA ADMITS XIAOMI DOES NOT EARN A PENNY ON SMARTPHONES

Hugo Barra with Xiaomi said that if his company has sold even 10 billion smartphones, then nothing would at this not earned. Could Xiaomi dokładało to this interest?
Xiaomi is still the largest manufacturer of smartphones in China and around the world, but for a few quarters, the shares of this company in the statistics clearly fall – the last by up to 45%. It would seem that it is for the authorities a reason for sadness, but in an interview he Hugo Barra said that it was no problem for one simple reason. Global VP stated bluntly that Xiaomi does not make money on smartphones and even sales of 10 billion copies would not have changed. In this situation it is difficult to assume that the manufacturer comes even to zero and probably makes this business. Xiaomi earns the most money on other segments of its business, mainly on the equipment connected with the intelligent houses, on the air conditioner or headphones. This makes it possible to shift part of the mobile division, which seems to be for Xiaomi symbol of prestige, as well as for other manufacturers who, despite weak sales are not willing to give (eg. Sony). In total, there is nothing surprising in this – only mobile devices are gaining importance in our daily lives. It is difficult to answer the question of whether Xiaomi will want to change this state of affairs, if only by raising prices. It promises to be a long time, but so far has not been yet to transform words into real action. The only product, which is expensive even for Xiaomi is almost frameless Xiaomi Mi Mix, but let's face it – other companies would sell this type of equipment much more expensive. One can be sure – Xiaomi is not going anywhere (well, maybe at CES 2017), so fans of the brand can be assured. By the way, I think that the situation Xiaomi clearly shows one simple thing – the more expensive smartphones from other manufacturers is not only an additional charge for the same logo on the cover. Source: Reuters

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