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Samsung loses ground to Xiaomi in China

News by Luke Jones on Monday August 04, 2014.

samsung news · industry news · luke jones

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The Xiaomi Mi 4 is just one of the devices hurting Samsung
The Xiaomi Mi 4 is just one of the devices hurting Samsung

It has not been a good few weeks for Samsung as the company's mobile division has been subjected to several rounds of bad news. It is not over yet though as it emerged today that the Korean company's hold in China has been lessened by Xiaomi, a home grown company in the country.

Samsung's recent woes have seen the company's mobile division fall by 31% amid declining sales, market share, and profit. One of the roadmaps for renewed growth detailed last week was that Samsung would target the Chinese market with better quality and more affordable handsets. China is considered one of the most important markets and the next frontier for substantial growth. Samsung has topped the mobile market there and it is one of the only places where it can get away from Apple's looming presence as the iPhone is not a huge seller in China.

However, while Cupertino is less of a threat in the market, China's own Xiaomi is, and the brand thumped Samsung during the second quarter of this year. Xiaomi is known for building ultra-affordable but good quality smartphones that are exclusive to China, although the company is looking to expand in Asia and beyond. It is one of the brands that has eaten into Samsung's market share, and in China it does not look good for the Galaxy S5 maker.

In fact, Xiaomi's is a whopping 39%, while Samsung has slipped to have just 12% of the market, the same as another Chinese manufacturer, Lenovo. Yet another Chinese giant, Huawei, is not far behind with 11%. Samsung's prediction that it will record growth (if not renewed profit) during the remainder of the year seems like an ever distant hope.

source: Android and Me

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About the author

Luke Jones
Luke Jones is the Managing Editor at MobileBurn.com and is the person you need to speak to about the content on the site. Luke studied creative writing at degree level before carving out a reputation as a freelance tech writer. He settled here at MobileBurn, where he reviews devices and contributes to the news, as well as overseeing the site's content and direction.

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