Xiaomi to ship 70 crore devices to India in next ten years

Smartphone giant Xiaomi aims to sell around 70 million devices in the country over the next decade, said Muralikrishnan B, president of Xiaomi India.

“Our goal is to be the largest telecom ecosystem not only in the world but also in India. When I look ahead to the next 10 years of India and Xiaomi India, it is a decade of opportunity and impact,” Murali said.

The company currently claims to have shipped 35 crore devices to India, including 25 crore smartphones. Globally, the smartphone major spends five percent of its total revenue on research and development.

The company is looking to add more products to its current portfolio that are made in India. As for the phone’s BoM (bill of materials), which is currently 35 percent, will go up to 55 percent by the end of 2025.

“Over the next two years, with our strategy to expand and deepen the business location ecosystem, we expect this number to grow,” he said.

Muralikrishnan also explained that the premiumisation trend has impacted lower price segments, including entry-level and mid-range smartphones, pushing up the average selling price of smartphones from ₹8,800 in 2014 to ₹20,800 in 2024.

“The domestic smartphone valuation at the end of 2023 was around 18 percent. We want to focus on broadening and deepening this component ecosystem and expect this number to grow to 22 percent in domestic value added by 2025,” he added.

Market leaders

In the quarter ending March 2024, Samsung remained the leading smartphone brand in India, shipping 6.7 million units and grabbing 19% market share, followed by Xiaomi and Vivo with 18% each. Oppo and Realme rounded out the top five with 13% and 9% market share, respectively.

Muralikrishnan said a single-product brand is no longer viable as consumers look for better and more versatile solutions.

“Customers want a connected ecosystem experience, and we intend to invest in our core technology across segments,” he added.

“Product is our passion, but performance is in our DNA. That’s what’s made us successful not just in smartphones, but also in TV, tablets, electric cars, home appliances and more power in this connected ecosystem. Having a great product is great, but if you can’t communicate that message to your audience in a way that captivates them, it’s not enough,” the CEO said.