Two days ago, smartphone company Xiaomi raised a mind-blowing $1.1billion in funding. According to the company, that puts Xiaomi’s overall valuation at $45 billion.
Xiaomi CEO Lei Jun confirmed the speculation in a post on Weibo. The Wall Street Journal has previously reported that the list of investors include All-Stars Investment, DST Global, and private equity funds.
Xiaomi’s marketshare as of 2014 currently pits the company squarely between Huawei and Lenovo. Though Xiaomi’s growth alone isn’t solely responsible for declining sales from top Android device leader Samsung, the Chinese smartphone maker is riding the momentum of a 300% YoY growth since their debut.
Despite the hot rise of Xiaomi, there’s still always the lingering criticism of the company’s heavy reliance on ‘inspiration’ from other companies, namely Apple. Xiaomi’s ability to offer customers a low-cost, high-end design sounds great, but if they’re opting to play the low-ball game then it’s up in the air how long they can sustain themselves on hardware value alone. Despite playing with such thin profit margins, Xiaomi’s growth … [visit site to read more]
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