Chinese smartphone maker Xiaomi has big plans to capture the booming smartphone network in India. In an interview to the ET, Xiaomi’s president Bin Lin talked about the company’s plans to consolidate its presence in the fastest growing smartphone market amidst a slowdown in China and other parts of the world.
These plans involve a two new factories in association with the manufacturer company Foxconn which is already producing 75% of the company’s phones in Andhra Pradesh.
We talked to Foxconn about opening two new factories, they’re in discussions with some of the provinces (states).
said Lin adding that they were aiming to get at least one plant working within this year only.
There are also reports of the company applying for a license of single brand retailing following the footsteps of premium smartphone maker Apple which will enable a direct presence of the company in the country.
In addition to it, Xiaomi also plans to introduce more devices in India this year after a slowdown in the year 2015 which saw only two new devices from the company.
Lin said that during this time, the Indian team was working on beefing up the local operations in terms of R&D keeping in mind the India-specific needs of products and services. This also resulted in the tremendous response to the sales of Redmi Note 3 whose 30000 units were recently sold within two seconds.
The new devices to be launched in India include the flagship Mi5 in April, and two other devices in next quarter and in the second half of the year. Lin said that they were in talks with content owners and makers to curate relevant local content for these upcoming Xiaomi devices.
Lin also commented on the current cut-throat competition in the smartphone segment of India, likening it to the Chinese conditions in past.
There were 150 brands in China, now only 30 are left where six of us control 60% of the market. In India, there are 170 brands and it’s going up… it will drop to 30 here too because it’s not sustainable.
He further added that the company was planning to eventually lead in India once the market consolidated.
Lin also attributed to the rise of e-commerce in the country to further propel the smartphone growth of which Xiaomi was a big part.