Tag Archives: Xiaomi

Xiaomi latest Business & Financial news from Doug Young, the Expert on Chinese High Tech companies, (former Journalist and Chief editor at Reuters)

SMARTPHONES: Huawei Rolls Past Apple

By on

Bottom line: Huawei could challenge Samsung for the global smartphone crown in as little as a year, though a potential Achilles heel could be the “outing” of its surging Honor brand that most may not associate with the Chinese parent.

Huawei passes Apple in global smartphone ranks

Smartphone pioneer Apple (Nasdaq: AAPL) has just reported its latest quarterly results, which means that all the data tracking firms can simultaneously release their own industry data showing the latest trends. Those trends show that Apple’s sales were basically flat for in the quarter on a unit basis, even as the bigger story was that the US giant lost its spot as the world’s No. 2 smartphone seller to a surging Huawei during the period.

The big picture is less that Apple is losing market share, and more that Huawei is surging in its march toward market dominance. Part of the reason behind the surge is booming popularity for Huawei’s sub-brand called Honor, which perhaps doesn’t carry the same stigma of the Huawei name. Read Full Post…

SMARTPHONES: Xiaomi Takes Big Step Into South Korea

By on

Bottom line:  Xiaomi appears to be gaining confidence of investors through moves like its entry into South Korea, but it will take at least another year to prove it really has the savvy to thrive over the longer term.

Xiaomi calls on South Korea

Newly listed smartphone maker Xiaomi (HKEx: 1810) has kept the world guessing these past two weeks with its on-again-off-again performance both on the Hong Kong stock exchange and now in the real world. The former is a reference to its stock, which did quite poorly in the run-up to its trading debut last Monday but has done a U-turn since then and posted some impressive gains.

The latter is a reference to the company’s latest strategic move, which has it launching its low-end smartphones in South Korea. That may not sound like much, since the market is relatively small and Xiaomi already sells its products in more than 70 countries and regions globally. But the symbolic significance is quite large, since South Korea is home to leading global smartphone maker Samsung (Seoul: 005930). Read Full Post…

IPOs: Inke Pops in Trading Debut, Xiaomi Bounces Back

By on

Bottom line: Live broadcasting specialists Inke and Huya should do well over the next year but could face difficulty after that as popularity of such services fades, while Xiaomi’s stock gains over the last two days look like a dead-cat bounce.

Inke goes live with strong trading debut

Following the unimpressive debut of smartphone maker Xiaomi (HKEx: 1810) earlier this week, live streaming site Inke (HKEx: 3700) is the latest high-tech listing in the headlines with a more impressive debut in Hong Kong. This latest deal follows the US listing for Huya (NYSE: HUYA), China’s first live streaming site to make an IPO, which has tripled since its New York IPO in May.

There are some mixed messages in here, perhaps indicating mixed investor sentiment towards many of these new-economy companies as investors try to separate the wheat from the chaff. If that’s the case, investors certainly seem to think that Huya and perhaps Yinke represent the wheat in the hot online streaming category. Meanwhile, they seem less certain about Xiaomi, which fizzled in its trading debut on Monday but has come bouncing back somewhat since then. Read Full Post…

IPOs: Xiaomi Fizzles in Debut, But What’s Next?

By on

Bottom line: Xiaomi’s stock is likely to be volatile over the next year and could move broadly downward as investors wait to see if the company’s comeback has legs and it can move into higher-end products.

Xiaomi fizzles in trading debut

Smartphone maker Xiaomi (HKEx: 1810) seems to have become the proverbial lead zepplyn sinking further and further into the mire as it finally made its trading debut in Hong Kong. The company has been dogged by skepticism almost since the get-go of its blockbuster IPO, which ended this morning here in Asia with the stock’s official trading debut. The question from here now becomes: how far will the stock sink before it finds a bottom, and what are its real prospects over the mid- to longer-term?

Let’s jump right in with the news, which had Xiaomi shares dipping 2.3 percent when their long awaited trading began here in Hong Kong on Monday morning. The shares opened at HK$16.60, versus an IPO price of HK$17. Things didn’t get much better after that, and the stock was down to HK$16.36 the last time I checked midway through the morning session. Read Full Post…

IPOs: Uxin Files in NY, Battery Maker in China, Mindray on ChiNext

By on

Bottom line: New listing plans by used car platform operator Uxin, EV battery maker Amperex and medical device maker Mindray should all do well, driven by strong growth potential and their leading positions in China.

Bumper crop of new China IPOs headed to market

The latest IPO season for Chinese firms is kicking into high gear on both sides of the Pacific, with announcement of several hot new offerings that each has a slightly different story to tell. At the head of the class is a new listing for used car platform operator Uxin, which is aiming to raise up to $500 million in New York.

That’s followed by a listing plan for electric vehicle battery maker Amperex, which is having to settle for a sharply-lower valuation than it had been originally seeking with a listing in China. Last but not least there’s medical device maker Mindray, which de-listed from New York and has just submitted a plan to list on China’s enterprise-style ChiNext board, after its initial plan to re-list on one of China’s larger main boards was rejected. Read Full Post…

SMARTPHONES: Struggling Coolpad Sees Money Bags in Xiaomi

By on

Bottom line: Xiaomi is likely to quietly settle a copyright infringement lawsuit against it by Coolpad, which is opportunistically looking for some hush money before Xiaomi’s IPO and can’t afford a long drawn-out court battle.

Coolpad sues Xiaomi as latter’s IPO draws near

In a move that smells of desperation, down-and-out smartphone maker Coolpad (HKEx: 2369) has filed a lawsuit against the up-and-coming Xiaomi. Anyone with half a brain will know the timing of this lawsuit looks quite suspicious, since Xiaomi is getting ready to make what could be this year’s biggest IPO in the next month or so, likely to raise up to $20 billion.

It’s quite difficult to know if this particular lawsuit has any merit, though we do know that Coolpad was an early hot player in the smartphone space and thus may legitimately hold some intellectual property similar to things that Xiaomi is now using. But the fact of the matter is that Coolpad can hardly afford to wage a long and potentially costly legal battle. Instead, it is probably hoping for a quick settlement to give it some much-needed cash to continue funding its money-losing daily operations. Read Full Post…

IPOs: Xiaomi Growth Charms, Losses Alarm

By on

Bottom line: Xiaomi is hoping to attract investors to its IPO through its recent strong revenue growth, but it could still be years before it becomes profitable due to heavy reliance on low-end, low-margin products.

Xiaomi growth banks on cheap products

Everyone is fawning over the newly released IPO prospectus from Xiaomi, the smartphone maker that is aiming to make what’s likely to be the biggest listing of all time by a company from its class. Most eyes seem to be focused on the company’s top line, headlined by revenue that grew 67.5 percent last year. But from my perspective, the picture isn’t all that attractive due to the company’s huge loss, along with data that show it is clearly stuck at the lower end of the global smartphone market in terms of brand positioning.

None of that is necessarily that bad, since Xiaomi, whose upcoming Hong Kong IPO is likely to be one of this year’s largest, is clearly in an early stage of its development. Most major brands today didn’t start out as premium names. Classic cases in that category are the Japanese and Korean electronics makers, most of which started off as makers of low-end but relatively reliable cheap products that made the “made in Japan” label at one time the equivalent of the “made in China” label now. Read Full Post…

SMARTPHONES: Foxconn Rises on Apple, Huawei and Xiaomi

By on

Bottom line: Foxconn’s taking of the smartphone manufacturing crown from Samsung reflects the resurgence of Apple and rises of Huawei and Xiaomi, and could ultimately force other brands to use such third-party producers.

OEMs rise on smartphone manufacturing list

Today we’ll take a step back from the usual name-brand smartphone rankings to look at a new report that shows that Taiwan’s Foxconn (HKEx: 2038) is emerging as one of those “industry leaders you never heard of”, quietly supporting some of the fastest-growing names. That’s the big takeaway from the latest figures from data tracking firm IDC, which show that Foxconn officially passed global titan Samsung (Seoul: 005930) in last year’s final quarter to become the world’s biggest smartphone manufacturer.

Most industry insiders already know Foxconn and its parent, Hon Hai, because of their longtime relationship as a key producer of iPhones for Apple (Nasdaq: AAPL). But the Taiwan company also counts Xiaomi as a major client, as that company experiences a resurgence in its fortunes after a couple of years in the dark. Foxconn also makes phones for Huawei, which is also doing quite well on the global smartphone scene at the moment. Read Full Post…

SMARTPHONES: Xiaomi Wins India, Makes First Visit to Top Trade Show

By on

Bottom line: Xiaomi’s taking of the India smartphone crown and attendance at a major trade show next week are aimed at boosting its profile in the run-up to its IPO. 

Xiaomi to attend MWC

Hype is building in the run-up to what’s likely to be one of the largest high-tech IPOs this year, with word that smartphone maker Xiaomi has snatched the India crown from a fading Samsung (Seoul: 005930) and is also making its first visit to the world’s top telecoms trade show next week. Both events are important milestones for a resurgent Xiaomi, as it attempts to boost its profile for a public listing that’s likely to raise in the neighborhood of $10 billion in Hong Kong.

At the same time, the list of attendees for this year’s Mobile World Congress taking place next week in Spain is also notable for a number of brands that have purchased booths in the past but aren’t doing so this year.  Leading that list is Oppo, which briefly took the China smartphone crown last year from current leader Huawei.  Also absent from the list are past attendees including Meizu and Gionee. That probably speaks to the fact that some of these brands are feeling the squeeze of prolonged competition in the space, and are choosing to spend their limited marketing budgets elsewhere. Read Full Post…

IPO: Xiaomi Partner Huami Defies Market in Trading Debut

By on

Bottom line: A relatively solid debut for wristband maker Huami bodes well for offshore Chinese IPOs outside the financial services sector, including for smartphone giant Xiaomi.

High-tech wristband maker Huami posts modest gain in debut

Different people are putting different spins on the trading debut for the first major Chinese IPO in New York this year, for a company called Huami, which makes fitness trackers and rose 2.3 percent on its first day. From my perspective, this looks like a gravity-defying debut, since the broader market tanked on that same day, with most of the major indexes down around 4 percent in the week’s second major major sell-off.

From a broader perspective, this seems to bode well for offshore Chinese IPOs in the year ahead, at least for those that are in safer sectors like this. Companies from the more volatile fintech sector, which has been the subject of repeated regulation to rein in the sector, could be in for a tougher ride. But this kind of more consumer-related product, which is far less controversial, could enjoy some success on positive sentiment about the broader China consumer market. Read Full Post…

SMARTPHONES: Xiaomi Eyes IPO, Gets Setback in Europe

By on

Bottom line: Xiaomi’s growing comeback is giving it confidence to launch an IPO plan, as its loss of a trademark case in Europe highlights renewed obstacles it will face in its global expansion.

Xiaomi eyes Hong Kong IPO

Comeback kid smartphone maker Xiaomi is in a couple of headlines as we reach the middle of the week, including one that highlights its return to growth and another that shows the obstacles it will face as it continues with its global expansion. The first headline has media reporting that Xiaomi is planning an IPO as early as next year, as its sagging valuation finally returns to a growth track. The second has the company suffering a setback in Europe related to a trademark dispute with industry colossus Apple (Nasdaq: AAPL), highlighting the perils it is likely to face as its global expansion moves into more developed western markets.

It’s still a bit early to say whether Xiaomi’s comeback story has legs, though growing signals are certainly pointing in that direction. I know at least one person who is a Xiaomi fan and goes out of his way to buy their phones, which means that at least some people are coming back to the brand. That’s a shift from a couple of years ago, when the company’s legions of early fans abandoned the brand after it lost its early trendy image and became more known for product problems and other glitches. Read Full Post…