Xiaomi first worsened financial results and lost leadership in China

    Xiaomi ceded leadership in China to Huawei Technologies . With such results, the third quarter of 2015 ended for smartphone manufacturers.

    In July-September, Huawei increased shipments to China by 81% in annual terms. This allowed her to become the leader in the Chinese market for the first time - the world's largest smartphone market.

    Xiaomi's quarterly performance has declined compared to last year. Until now, in the entire history of this vendor, there has been no fall, TechCrunch reports .

    “Huawei’s rise to first place is a feat, especially in the context of the increasingly merciless and growing Chinese smartphone market,” said Canalys research analystJesse Dean Researchers will publish more detailed data at the end of October.

    Over the past few years, Xiaomi has been building growth. Over the first half of the company, it managed to sell 34.7 million smartphones with a total sales growth of 33%. However, Xiaomi, according to researchers, will not cope with the previously announced plan to implement 100 million gadgets this year. Last year, the company managed to sell 61 million devices. Therefore, to fulfill the sales plan, Xiaomi must grow more than 60% compared to last year.

    Experts believe that Xiaomi has lost leadership in the local market due to its ambitions. The company has set the bar too high. Theoretically, it could be achieved by increasing sales to the desired level, well “hooking” foreign markets. However, this did not happen. Now, there are simply no resources left to maintain positions in native China.

    The vendor began to slow down growth in the country and questioned its future prospects. After all, China is the main source of the company's growth, analysts say.

    Megamind wrote that Xiaomi and Huawei bypassed Apple in the second quarter of this year.in the Chinese smartphone market. According to Canalys, Xiaomi was then the leader in the local smartphone market with a share of 15.9%. In second place was Huawei with 15.7% of the market. It is worth noting that the share of Huawei then increased immediately by 48% - this is the maximum figure among all smartphone manufacturers in China.

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