Published in Mobiles

Xiaomi does not fear falling phone sales

by on28 November 2016

We don't make money on the numbers

Xiaomi does not appear worried that its smartphone sales are falling.

Xiaomi global vp Hugo Barra said: “We could sell 10 billion smartphones and we wouldn’t make a single dime in profits. Basically, we’re giving them to you without making any money... we care about the recurring revenue streams over many years”.

This is a novelty given that many smartphone makers are very worried about declining smartphone sales, but Xiaomi makes its money from connected home devices and its software ecosystem.

Smartphone sales are not a financial imperative as with most companies, Barra said.

Xiaomi’s vp Liu De said in April that the company expected sales of smart home devices to double to $1.5 billion this year.

Last modified on 28 November 2016
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