Xiaomi to invest 1 billion dollars in India within five years
- November 21, 2017
- Posted by: Yolandy
- Category: Business
Chinese smartphone maker Xiaomi is planning to invest 1 billion US dollars in 100 companies in India within five years, aiming to create a system that centers on the company’s smartphone brand, according to an interview with Lei Jun, founder and CEO of Xiaomi, conducted by Livemint.
Lei Jun said that his firm has given India priority over its home market China and will build products keeping India in mind first. With a research and development center, coupled with a focus on design, the company plans to bring around 200 products to market in India, and not just smartphones.
In the past four years, Xiaomi has invested 4 billion dollars in more than 300 companies in China, and successfully created a system that focuses on the company’s smartphones. Xiaomi aims to bring that business model to India.
According to Lei Jun, Xiaomi is to be committed to investing in content, FinTech, in-depth localization services, manufacturing and more, promoting the popularization of the internet in India.
So far, Xiaomi has invested in 6 internet companies in India, including Hungama, India’s leading digital entertainment company, and KrazyBee, India’s first Online Installment Store.
India is the first foreign market for Xiaomi and it is the most successful one so far. Xiaomi introduced its smartphone to India in 2014, by means of cooperation with a local e-business to sell online. In May 2015, Xiaomi launched its first physical store in Bengaluru, India.
According to International Data Center, Xiaomi and South Korean firm Samsung Electronics were joint leaders in the Indian smartphone market with each controlling 23.5% of market share.
Committed to an international strategy, Xiaomi has launched in many markets overseas in the past few years, including Brazil in 2015, East Europe in 2016, and Spain in November 2017.