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Fast-Growing Ecosystem Presents High Risk For Xiaomi

September 24, 2015 - Written By Kristijan Lucic

Xiaomi is currently the number one smartphone manufacturer in China. This company is also one of the fastest growing smartphone manufacturers on the planet, and has managed to reach the number 1 spot in China in less than 5 years since it was founded. That being said, Xiaomi is first and foremost a smartphones manufacturer, but this company likes to dabble in pretty much anything. They’ve released fitness trackers, smart TVs, a tablet, various smart gadgets (like air purifiers for example), they’re developing their own Android-based OS, etc.

The sales slowdown in China doesn’t seem to concern Xiaomi, at all actually. The company has released a ton of devices this year, and has tons more in the pipeline for this and next year. Well, according to some sources (analysts), this could work against Xiaomi going forward. Aside from releasing new smartphones, this company is planning to unveil Android and Windows-based tablets in the coming months, and they will event move into the notebook business next year. That’s not all though, Xiaomi is reportedly developing their very own smartphone processor, and they’ve also became an MVNO a couple of days ago when they announced various network plans that they’ll offer to their consumers in partnership with Chinese carriers.

Xiaomi is quite probably China’s most versatile OEM, though there are many companies in China that dabble in pretty much anything tech related, like Letv for example. Anyhow, analysts believe that Xiaomi’s approach could either pay off in the end, but it provides high risks for the company. This, of course, makes sense, Xiaomi might end up trying to do everything at once and won’t be able to handle that. We need to keep in mind that this company was founded back in 2010, and it’s a relatively young business at this point. It’s true that they managed to grow incredibly fast and probably achieve something they never dreamed off, but it’s always possible they’ll try to do too much too soon. It will certainly going to be interesting to see what will happen in the end, but one thing’s for sure, 2016 will be a very exciting year for Xiaomi aficionados.