InfoAnda - China's mini Apple takes slice of smartphone pie |

Pakistanis angry over detentions in Times Sq. case
Monday, May 24, 2010
ISLAMABAD – Relatives of three men detained by Pakistan for alleged links to the suspect in the attempted Times Square bombing say the men are innocent.
They

Taiwan denies boycotting Australian film festival
Thursday, August 6, 2009

AFP - Thursday, August 6TAIPEI (AFP) - - Taiwan's Beijing-friendly government on Wednesday denied boycotting an Australian film festival amid a row over the e

Merkel's support dips, regional ally resigns International
Thursday, September 3, 2009

By Sarah Marsh and Noah Barkin

BERLIN (Reuters) - Chancellor Angela Merkel suffered a double blow on Thursday as a senior party ally in east German

Minister seeks closure of anti-Berlusconi websites
Wednesday, December 16, 2009
ROME (AFP) - – The Italian government moved Tuesday to close down Internet sites encouraging further violence against Prime Minister Silvio Berlusconi, who

Asian markets mixed after Wall Street rally
Wednesday, March 18, 2009

By ELAINE KURTENBACH,AP Business Writer AP - Wednesday, March 18SHANGHAI - Asia's stock market rally seemed to be running out of steam Wednesday, despite an

Philippine hero Pacquiao faces tough political fight | 17 March 2010
The first lady of Indian photojournalism takes a bow | 29 October 2010
Malaysia helps Indonesia in terror suspect hunt | 13 August 2009

Afghan gov't announces anti-corruption squad | 17 November 2009

Forum Views () Forum Replies ()

Read more with google mobile : China's mini Apple takes slice of smartphone pie |

Edition: U.S. Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom Home Business Business Home Economy Technology Media Small Business Legal Deals Earnings Social Pulse Business Video The Freeland File Aerospace & Defense Investing Simplified Markets Markets Home U.S. Markets European Markets Asian Markets Global Market Data Indices M&A Stocks Bonds Currencies Commodities Futures Funds peHUB Dividends World World Home U.S. Brazil China Euro Zone Japan Africa Mexico Russia India Insight World Video Reuters Investigates Decoder Politics Politics Home Supreme Court Politics Video Tech Technology Home MediaFile Science Tech Video Tech Tonic Social Pulse Opinion Opinion Home Chrystia Freeland John Lloyd Felix Salmon Jack Shafer David Rohde Nader Mousavizadeh Lucy P. Marcus Nicholas Wapshott Bethany McLean Anatole Kaletsky Zachary Karabell Edward Hadas Hugo Dixon Ian Bremmer Lawrence Summers Susan Glasser The Great Debate Reihan Salam Frederick Kempe Mark Leonard Breakingviews Equities Credit Private Equity M&A Macro & Markets Politics Breakingviews Video Money Money Home Tax Break Lipper Awards 2012 Global Investing MuniLand Unstructured Finance Linda Stern Mark Miller John Wasik James Saft Analyst Research Alerts Watchlist Portfolio Stock Screener Fund Screener Personal Finance Video Money Clip Investing 201 Life Health Sports Arts Faithworld Business Traveler Entertainment Oddly Enough Lifestyle Video Pictures Pictures Home Reuters Photographers Full Focus Video Reuters TV Reuters News Article Comments (0) Slideshow Video Follow Reuters Facebook Twitter RSS YouTube Read Strong quake hits off Japan near Fukushima | 10:51am EST Marijuana goes legal in Washington state amid mixed messages 2:44am EST Wall Street flat in wake of weak consumer sentiment data | 10:29am EST Romney campaign had $25.7 million left after U.S. election 06 Dec 2012 Egypt struggle seen costing Mursi, even if he wins | 10:12am EST Discussed 161 Egyptian protesters breach presidential palace cordon 139 IRS aims to clarify investment income tax under healthcare law 82 New Jersey Governor Christie seeks 100 percent FEMA reimbursement for Sandy Pictures Reuters Photojournalism Our day's top images, in-depth photo essays and offbeat slices of life. See the best of Reuters photography. See more | Photo caption Fishing for shark fin The Ocean Sunset hunts sharks as well as other fish for their meat and fins off the cost of Canada. Slideshow Pregnant princess Princess Kate, Duchess of Cambridge, leaves the hospital. Slideshow Sponsored Links China's mini Apple takes slice of smartphone pie Tweet Share this Email Print Related News Apple's shares swallow biggest loss in four years Wed, Dec 5 2012 Special Report: How foreign firms tried to sell spy gear to Iran Wed, Dec 5 2012 Nokia's Lumia deal with China Mobile raises hopes Wed, Dec 5 2012 Samsung says to fix outsourcing issues, but keep most production inhouse Fri, Nov 30 2012 Ericsson sues Samsung for patent infringement Tue, Nov 27 2012 Analysis & Opinion How the United Nations could ruin the Internet The impossibility of tablet-native journalism Related Topics Investing Simplified » Tech » Media » China » iPad » Related Video Can China grow an Apple? Thu, Dec 6 2012 1 of 2. Lei Jun, founder and CEO of China's mobile company Xiaomi, speaks at a launch ceremony of Xiaomi Phone 2 in Beijing in this August 16, 2012 file photo. Credit: Reuters/Jason Lee/Files By Melanie Lee BEIJING | Fri Dec 7, 2012 5:16am EST BEIJING (Reuters) - China's Xiaomi Technology is a fairy tale for nerdy entrepreneurs. Less than three years after its founding, the smartphone maker is valued at $4 billion and evokes Apple-like adoration from its fans, some of whom are desperate enough to skip work for a shot at buying the latest product the day it goes on sale. Founder Lei Jun dresses like the late Steve Jobs, in jeans and a black top. He has created a fervent fan base for Xiaomi's moderately priced high-end smartphones by mimicking Apple Inc's marketing tactic of attaching an aura of exclusivity around its products. Before Xiaomi, the 42-year-old Lei was a key investor in China's early Internet scene, co-founding startups including Joyo.cn, which was eventually sold to Amazon.com Inc, and the recently listed YY Inc. Born in Xiantao, a small city in China's central Hubei province better known for breeding Olympic gymnasts than billionaire technocrats, Lei brushes off comparisons to Jobs but concedes that the Apple visionary was an inspiration. "China's media say I am China's Steve Jobs," Lei told Reuters in an interview. "I will take this as a compliment but such kind of comparison brings us huge pressure," said Lei, who grew up assembling radios as a hobby. "Xiaomi and Apple are two totally different companies. Xiaomi's based on the Internet. We are not doing the same thing as Apple." HOT SALES AND FANS Xiaomi has already sold 300,000 of its latest phone model, launched in October. The Xiaomi phone 2 has specifications similar to those of Samsung Electronics' Galaxy S3 and Apple's iPhone5 but a top-of-the-line model sells for about $370, half the price of an iPhone5. Unlike the big domestic smartphone players, such as Lenovo Group, ZTE Corp and Huawei Technologies, which work with telecom carriers to sell a large volume of smartphones, Xiaomi sells most of its phones online and in small batches. This small volume strategy creates pent-up demand that gives Xiaomi free marketing buzz. The first batch of 50,000 phones released on October 30 sold out in less than two minutes. Subsequent larger batches have also sold out in minutes. Lei, who has nearly 4 million followers on China's popular microblogging platform, Weibo, feeds the buzz by dangling teasers about new products and launch dates. "We're not a company that chases sales volume. We chase customer satisfaction. We look for ways to give the customer a great surprise," Lei said. His vision for an exclusive mid-tier brand that builds up incrementally, rather than swamping the market, has found financial backers. In June, Xiaomi raised $216 million from Singapore's sovereign wealth fund, the Government of Singapore Investment Corp, and a few of Lei's friends, local media reported, giving it a valuation of $4 billion. "China is ripe for its own Apple, HTC or Samsung," said Hans Tung, managing partner at Qiming Venture Partners, a venture firm backing Xiaomi. "The country is big enough, there are enough mobile Internet users and mobile phone consumers. Therefore having its own mobile ecosystem built up by a domestic brand makes sense." Xiaomi, which was founded in April 2010 and only started selling smartphones in October 2011, is on track to sell 7 million units this year, exceeding its target of 2 million. Xiaomi is already profitable and is expected to rake in sales of up to 13 billion yuan ($2 billion) this year. "Our product only sold for a year and hit sales of $2 billion. That is pretty impressive," Lei said, adding Xiaomi was not considering an initial public offering within the next five years. Tung said Xiaomi's net margins were 10 percent. This suggests its net profit could hit $200 million this year. Mo Xiaohua, a 24-year-old accountant, is a proud Xiaomi fan who only recently bought her first Xiaomi phone. For many who use Xiaomi phones, the customizable themes and the weekly updates are a big draw. "I like Xiaomi because among China's brand smartphones, its value is the best," Mo said. "Now that we have such a good China branded phone, we need to support it." 'BLACK BACK FLATS' Xiaomi has its fair share of detractors who doubt it will have a happy ending. They say the smartphone game in China can only be won with wide distribution and high volume or a big brand with distinctive designs. Xiaomi, whose attraction is its price and high technical specifications, does not win points for cutting-edge design. "This is a world where people are now cranking out 'black back flats', that's what all these phones are when you put 10 on the table... Xiaomi is not going to stick out," said Michael Clendenin, managing director at RedTech Advisors. "In this world, the market is driven by two things: one is massive volume and two huge brands." ZTE and Huawei have set smartphone sales targets for this year at about 30 million and 60 million respectively. The firms have traditionally dominated the cheap low-end smartphone segment but have been pushing into the mid-price range. ZTE said it launched 11 types of smartphones in the mid-price range of 1,500-2,500 yuan this year, up from six last year. Apple released its mid-range tablet, the iPad Mini, in China on Friday. "Xiaomi had great headline appeal a year ago... but the problem is now you have got guys like ZTE and Huawei and Meizu with phones that are priced in a similar range," Clendenin said. China is expected to surpass the United States as the world's largest smartphone market this year with 165-170 million unit sales, up from 78 million last year, Gartner said. Analysts said Xiaomi had to ramp up volume and address technical problems and a shortage of customer service centers if it wanted a shot at the big league. "One of the challenges of being in the middle is that you can get squeezed," said Duncan Clark, chairman of Beijing-based consultancy BDA. Lei is resolute that he will prove the naysayers wrong. "In this industry, I think the most important thing is to get love from your customers," he said. "If you are popular with your customers, you succeed." ($1 = 6.2253 yuan) (Additional reporting by Jane Lee and the Shanghai Newsroom; Editing by Emily Kaiser and Nick Macfie) Investing Simplified Tech Media China iPad Related Quotes and News Company Price Related News Tweet this Link this Share this Digg this Email Reprints We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/ Comments (0) Be the first to comment on reuters.com. Add yours using the box above. Edition: U.S. Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom Back to top Reuters.com Business Markets World Politics Technology Opinion Money Pictures Videos Site Index Legal Bankruptcy Law California Legal New York Legal Securities Law Support & Contact Support Corrections Connect with Reuters Twitter Facebook LinkedIn RSS Podcast Newsletters Mobile About Privacy Policy Terms of Use AdChoices Copyright Our Flagship financial information platform incorporating Reuters Insider An ultra-low latency infrastructure for electronic trading and data distribution A connected approach to governance, risk and compliance Our next generation legal research platform Our global tax workstation Thomsonreuters.com About Thomson Reuters Investor Relations Careers Contact Us Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. Thomson Reuters journalists are subject to an Editorial Handbook which requires fair presentation and disclosure of relevant interests. NYSE and AMEX quotes delayed by at least 20 minutes. Nasdaq delayed by at least 15 minutes. For a complete list of exchanges and delays, please click here.

Other News on Friday, 7 December 2012
Fatal North Sea collision said to be human error |
Guatemala rejects request for asylum by McAfee |
Greek police clash with youths over 2008 shooting |
Apparel factory fire reveals big brands' shadowy supply chains |
Facebook in talks to buy Microsoft ad technology: reports |
Intel CEO Otellini expects insider to replace him |
Detained software guru McAfee hospitalized in Guatemala |
Alcatel-Lucent out, Gemalto in French blue-chip index |
Broadcom eyes entry into LTE chip market in 2013 |
A123 auction to kick off with at least four bids |
Former Microsoft, Sprint executives launch mobile and cloud fund |
Once-popular Arkansas Passion Play of Jesus' life closes |
Philippines buries dead, typhoon toll hits 418 |
Egypt demonstrators reject Mursi call for dialogue |
Russia, U.S. talk as Syria events accelerate on the ground |
Exclusive: U.S. likely to extend Iran sanction waivers-sources |
U.S. warships moving to monitor North Korea's planned rocket launch |
Chinese Nobel winner dodges call for laureate's freedom |
Canada says reviewing F-35 report, denies plan to cancel |
Emboldened Hamas leader to visit Gaza for first time in 45 years |
Deportation looms for tech guru McAfee after heart drama |
Apple, Samsung spar in court, ruling to come |
Apple to return some Mac production to U.S. in 2013 |
T-Mobile USA plans to ditch phone subsidies, sell iPhone in 2013 |
Top U.S. carriers to set up 911 texting services |
Taiwan contract laptop maker Compal says Nov sales up 6 percent |
Google to charge small businesses for Web-based Apps software |
NTT Docomo loses record 40,800 subscribers in Nov, as iPhone gains |
Netflix says CEO's Facebook post triggered SEC notice |
Google critic disappointed with FTC, meet with Justice |
Jackson's Hobbit: the journey begins |
No Grammy love for Justin Bieber, One Direction |
Dancing with the Stars Burke says voice fine after thyroid surgery |
Breaking Bad, dominates Writers Guild TV nominations |
Spotify gains more listeners and Metallica |
New Whitney Houston book recalls singer's musical magic |
Actor Stephen Baldwin charged with failure to file taxes |
Hamas leader ends long exile, visits Gaza Strip |
Strong quake hits off Japan near Fukushima |
HRW demands Israel justify Gaza strike that killed 12 civilians |
Russian PM defends tough laws, stands behind Putin |
Berlusconi party says will not push Italy into chaos |
Flag riots mar Hillary Clinton's visit to Belfast |
Venezuela's Chavez returns from Cuba after treatment |
Illness leads Serb ambassador to NATO to suicide |
Italian tax police visit Facebook's Milan offices |
China's mini Apple takes slice of smartphone pie |
D. Telekom hopes investments will soften dividend blow |
TPSA sees Polish telco market tumbling further in 2013 |
Russia's Deputy PM to meet Rostelecom board next week |
China labor arbitrators rule against injured Foxconn worker |
Greece at new risk of being pushed off euro
Bodies of missing Tenn. mom, Jo Ann Bain, and daughter found
Female Breasts Are Bigger Than Ever
AMD Trinity Accelerated Processing Units Now in Volume Production
The Avengers (2012 film), made the second biggest opening- and single-day gross of all-time
AMD to Start Production of piledriver
Ivy Bridge Quad-Core, Four-Thread Desktop CPUs
Islamists Protest Lady Gaga's Concert in Indonesia
Japan Successfully Broadcasts an 8K Signal Over the Air
ECB boosts loans to 1 trillion Euro to stop credit crunch
Egypt : Mohammed Morsi won with 52 percent
What do you call 100,000 Frenchmen with their hands up
AMD Launches AMD Embedded R-Series APU Platform
Fed Should not Ignore Emerging Market Crisis
Fed casts shadow over India, emerging markets
Why are Chinese tourists so rude? A few insights

USD EUR - 1 year graph	VPN on MacOSX	BlogMeter 1.01