Does Xiaomi's new budget smartphone mean the end for China's cheap counterfeits?
Xiaomi's Mi-3 has launched successfully in China, leaving many wondering about the future of the crowded smartphone market
Chinese smartphone manufacturer Xiaomi released its newest mobile device, the Mi-3, on Tuesday to great success, leaving some buyers wondering if the company’s budget products would lead to the demise of cheap counterfeit phones in China.
The Android-powered Mi-3 was completely sold out in 86 seconds shortly after orders opened on Xiaomi’s website, the electronics company confirmed on its Sina Weibo microblog on 15 October.
Founded in 2010 and sometimes labelled as China’s answer to electronics giants Apple and Samsung, Xiaomi has made a name for itself selling homegrown mobile devices to an audience unable to pay premium prices but still eager for trendy gadgets.
With 7.19 million mobile devices sold in 2012, Xiaomi expects to repeat this success and double its profit in 2013, particularly with the launch of the Mi-3.
Much of Xiaomi’s success comes from the company’s competitive prices – a 16 gigabyte version of the Mi-3 can be purchased for 1,999 yuan (HK$2,543) and a 64 gigabyte version goes for 2,499 yuan (HK$ 3,179). In contrast, Apple’s iPhone 5S is sold in China at a starting price of 4,488 yuan (HK$5,687).
Early adopters of Xiaomi’s Mi-3 shared enthusiastic reactions on Sina Weibo, and many said that the device had exceeded expectations.
“Xiaomi has ushered in a new trend and thoroughly changed Chinese people’s perceptions that mobile phones made in their country are all shanzai products,” one poster wrote.