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 Slips in Q3, Meizu Gets New Investors

Huawei slips in Q3

The first third-quarter smartphone sales data are out, revealing that Huawei retained its leading position in the fiercely competitive Chinese market. But the high flying Huawei also saw its share drop by more than one percentage point, indicating its momentum may be slowing. At the same time, other reports are saying that Meizu, the Alibaba-backed (NYSE: BABA) smartphone brand that isn’t in the China top 5, has signed on a small group of new investors in a deal that hints at a possible upcoming IPO.

Let’s jump right in with the big-picture numbers, which are coming in new quarterly data from TrendForce. According to that data, Huawei controlled 19.1 percent of the Chinese smartphone market in the third quarter, down from 20.4 percent in the previous quarter. (Chinese article) Total smartphone sales in China reached 168 million for the quarter. Read Full Post…

VIDEO: Armed With Vizio, China’s LeEco Eyes US Smartphone, TV Markets

Bottom line: LeEco’s major new push into the US smart TV market could achieve some success due to its recent Vizio purchase, though its concurrent smartphone drive will be a dud due to lawsuits and mediocre product quality.

LeEco revs for US smart TV launch

Watch out, Comcast (Nasdaq: CMCSA) and Apple (Nasdaq: AAPL). Chinese online video superstar LeEco (Shenzhen: 300104) is taking direct aim at the lucrative US online video and smartphone markets, with plans for major new product launches later this month. I’ll admit I’m doing a bit of educated guessing here, since the company  formally known as LeTV hasn’t made any formal announcements yet on its US ambitions.

But  all the signs certainly point in that direction, following LeEco’s headline-making $2 billion July purchase of Vizio, a struggling maker of cheap, no-name TVs that is one of the biggest and also most obscure names in the huge US market. Added to that is  LeEco’s  recent issue of invitations to an event set for October 19  in San Francisco, where it says it will announce its “disruptive vision of a connected ecosystem of content-driven smart devices to the US market.” (English article) Read Full Post…

PCs: Lenovo Back at Old M&A Approach with Fujitsu Talks

Bottom line: Lenovo and other Chinese firms need to abandon their approach that targets declining, older brands for global M&A, and instead focus on organic growth and more strategic assets with better growth potential.

Lenovo eyes Fujitsu’s PC business

The acquisitive Lenovo (HKEx: 992) was in M&A headlines again last week, when media reported it was in talks to buy the aging PC business of Fujitsu, an operation that is largely inconsequential outside its home Japanese market. Such a purchase would continue a trend dating back more than a decade, which has seen Lenovo purchase declining global brands for bargain prices with hopes of resuscitating those names to expand its global footprint. Read Full Post…

FUND RAISING: Bike Sharing Firm Ofo Raises Funds, ZTO Files for NY IPO

Bottom line: ZTO’s proposed New York IPO is getting modest interest due to concerns about competition in the parcel delivery sector, while bike sharing service Ofo could make its own offshore IPO in the next 3 years.

Bike sharing service Ofo raises funds
Bike sharing service Ofo raises funds

Just a day after I noted the disappearance of a previously discussed New York listing plan by parcel delivery service ZTO Express, the company has re-emerged in the IPO headlines with a filing saying it plans to raise up to $1.5 billion. At the same time, an intriguing bicycle-sharing service called Ofo is also in the fund-raising headlines, picking up a smaller $130 million in new money from its own impressive list of investors that includes ride-sharing giant and Uber-killer Didi Chuxing. Read Full Post…

China News Digest: October 11, 2016

The following press releases and news reports about China companies were carried on October 11. To view a full article or story, click on the link next to the headline.

  • ZTO Express Files Prospectus for NY IPO to Raise up to $150 Mln (Chinese article)
  • Shared Bike Service Ofo Raises $130 Mln, to Work With Xiaomi, Didi (Chinese article)
  • China Unicom (HKEx: 762) Says Studying Mixed Ownership Reform Program (HKEx announcement)
  • SMG’s BesTV Enters Strategic Partnership with NBA (Chinese article)
  • Hollysys (Nasdaq: HOLI) to Pay a Regular Annual Dividend for 2016 (PRNewswire)

SMARTPHONES: Lenovo Slashes Moto, Xiaomi Goes Further Offline

Bottom line: Lenovo’s big job cuts at Motorola could auger a write-off of the brand in the next half year, while Xiaomi’s huge offline expansion looks necessary but will further undermine its trendy high-tech image.

Lenovo slashes jobs at Moto

Two former smartphone high-flyers are in the headlines today, with PC giant Lenovo (HKEx: 992) and Xiaomi both taking steps to try and regain their former glory. Lenovo’s move looks like a major retreat for its struggling Motorola brand, which has just slashed more than half of its staff. Meantime, Xiaomi has just rolled out two higher-end models in a bid to go upscale. But what caught my attention were details of the company’s plans to sharply boost its offline presence in the latest reports.

Both stories reflect companies in transition, after each tumbled from the ranks of China’s top smartphone brands due to failure to build a loyal customer base. Lenovo bought Motorola for $2.9 billion 2 years ago and was hoping to position the faded brand as its premium product line. Meantime, Xiaomi skyrocketed to fame 3 years ago partly on an online-only sales model that helped it control costs and position itself as a trendy, cutting-edge brand. Read Full Post…

China News Digest: September 28, 2016

The following press releases and news reports about China companies were carried on September 28. To view a full article or story, click on the link next to the headline.

  • Lenovo (HKEx: 992) Cuts 1,000, Including More than Half of Motorola Staff (Chinese article)
  • Blizzard, NetEase (Nasdaq: NTES) Renew Operation Agreement in China (PRNewswire)
  • Paid Q&A Service Fenda Reappears After 47 Day Pause, Only Offers Medical Advice (Chinese article)
  • Starbucks (Nasdaq: SBUX), Master Kong in Tie-Up for Drinks from 10 Yuan (Chinese article)
  • Xiaomi Guns for Apple (Nasdaq: AAPL) With Latest Premium Smartphone (English article)

SMARTPHONES: Xiaomi Expands in India, Wows North Korea

Bottom line: Xiaomi’s progress in India shows its global expansion is moving ahead despite a recent setback in Brazil, but it will need to replicate that success in other markets to revive its sputtering fortunes.

Xiaomi wristband wins North Korean fans

Former smartphone sensation Xiaomi is in a couple of headlines as the week winds down, both showing how the company is looking to foreign markets to offset its sputtering business in China. The bigger of the items shows how quickly Xiaomi is advancing in India, where it has consolidated its position as the third largest brand just 2 years after entering the market. The second item is a bit quirkier, saying that Xiaomi’s wearable fitness band has become a hot-seller in North Korea, a market that isn’t exactly known for its consumer culture. Read Full Post…

China News Digest: September 9, 2016

The following press releases and news reports about China companies were carried on September 9. To view a full article or story, click on the link next to the headline.

  • Foxconn (Taipei: 2317) Invests $120 Mln in Chinese Ride-Hailing App Didi Chuxing (English article)
  • China’s XIO Group Completes Acquisition of JD Power and Associates (PRNewswire)
  • Western Digital (Nasdaq: WDC), Unisplendour Celebrate New Joint Venture (Businesswire)
  • In North Korea, China’s Xiaomi Gets the People’s Pulses Racing (English article)
  • Former Homeinns CEO Takes Gen Mgr Spot at Merger Partner BTG Hotels (Shanghai: 600258)

China News Digest: September 8, 2016

The following press releases and news reports about China companies were carried on September 8. To view a full article or story, click on the link next to the headline.

  • Oppo Becomes Major Southeast Asia Smartphone Player, Xiaomi Enters India Top 3 (Chinese article)
  • SocGen (Paris: SOGN ) in Talks to Sell 49 Pct of China Asset Manager to Warburg (English article)
  • China Mobile (HKEx: 941) Installs Phone Scam Warning System in Inner Mongolia (Chinese article)
  • Ctrip (Nasdaq: CTRP) Announces Pricing of Offering of ADSs (PRNewswire)
  • iDreamSky (Nasdaq: DSKY) Completes Going Private Transaction (GlobeNewswire)
  • Latest calendar for Q2 earnings reports (Earnings calendar)

FINANCE: Xiaomi, Huawei Try E-Payments; UnionPay Thrives in US

Bottom line: UnionPay’s announcement that its cards are usable at nearly all US ATMs shows it is targeting local US customers, while stiff competition will limit the success of new Xiaomi and Huawei e-payment services.

UnionPay makes big gains in US

It’s been a busy week for Chinese companies in the electronic payments headlines, with 3 major names making big moves in the space. Leading the pack is industry stalwart UnionPay, China’s equivalent of MasterCard (NYSE: MA) and Visa (NYSE: V), which is saying its own credit cards are now accepted by an impressive 80 percent of US merchants. The other headlines are coming from smartphone makers Huawei and Xiaomi, which have announced roll-outs for China-based electronic payment services that will compete with other similar products from Apple (Nasdaq: AAPL) and Samsung (Seoul: 005930). Read Full Post…