Xiaomi is looking to focus on flagship and mid-range Android phones over the course of this year, industry sources told Digitimes. The Beijing-based consumer electronics manufacturer reportedly made that decision in an effort to boost its sales and do a better job of competing with its domestic rivals like Huawei, OPPO, and Vivo, currently the three largest smartphone vendors in the Far Eastern country by shipments. Industry insiders claim that Xiaomi's Q1 2017 sales aren't meeting analysts' expectations despite the fact that the company recently released the Mi Mix and the Mi Note 2. Due to that state of affairs, the Chinese phone maker will commit more resources to developing, manufacturing, and distributing more high-end and mid-range Android phones in the coming months, sources believe.
Furthermore, the Beijing-based tech giant is allegedly looking to introduce some changes to its supply chain as insiders claim that the company is currently considering some new component suppliers. Details on this endeavor are still vague, but Xiaomi is reportedly close to signing a supply deal with Truly Opto-electronics, a Hong Kong-based manufacturer of display panels. As for its upcoming consumer-grade hardware, Xiaomi is currently preparing to unveil the Xiaomi Mi 5c codenamed "Meri." Digitimes claims that the company's next mid-range Android smartphone won't be unveiled until March, but should hit the market by the second quarter of the year. The unannounced device is said to be fueled by Xiaomi's very own Pinecone V670 system-on-chip (SoC). While equipping the Mi 5c with an in-house SoC should be cheaper than purchasing large volumes of chipsets from third-party manufacturers, industry watchers are reportedly skeptical about Xiaomi's upcoming SoC as they aren't convinced that the chip will be able to rival its competitors in terms of performance.
Latest data shows that Xiaomi is currently the fourth largest original equipment manufacturer (OEM) in China by shipments and has experienced a steep decline in shipments in 2016. The company's Chief Executive Officer Lei Jun recently admitted that the company grew too quickly in recent years and vowed to put a larger focus on sustainable growth in the future. More official information on Xiaomi's upcoming devices will likely follow soon seeing how the company just confirmed it will unveil the aforementioned Pinecone SoC on February 28.