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Is Xiaomi Replacing Huawei With Retailers?

Chinese smartphone brand Xiaomi who recently cut a deal with JB Hi Fi with some speculating they are the replacement brand for Huawei has reported a 20% jump in sales.

This is no small Company having reported A$21 billion sales in the first half of 2019, with overseas handset revenues accounting for 40% of total sales.

Xiaomi said, its handset shipments reached 32.1 million units in the second quarter.

The robust sales in the second quarter indicated that Xiaomi’s handset business was not affected by off-peak season effect in the quarter, with its handset ASPs rising, according to market watchers.

Gross margin improved to 8.1% in the second quarter from 3.3% a quarter earlier, driven by increased shipments of handsets priced over $450 whose proportion to overall sales has reached 32%, the company said.

To tackle competition of fellow companies including Huawei and Oppo, Xiaomi has launched a CC-series line-up targeting female users and enriched the portfolios of its Redmi line-up by introducing high-end models with 64-megapixel main cameras.

However, controversy has arisen over the recent launch of the Xiaomi Mi 9T Pro.

Digital Trends claims that the newly announced smartphone is a renamed version of the Redmi K20 Pro, which was initially launched at the end of May.

It follows the Xiaomi Mi 9T, which was itself a renamed version of the Redmi K20, also revealed alongside the K20 Pro in May.

The Redmi-branded phones are already available in China, while the Mi 9T models are destined for Europe and other countries including Australia.

Digital Trends said that while the rebranding makes sense — the Redmi name is not well known outside China — it’s unfortunate Xiaomi decided to stagger the release.

Giving people the choice of both phones at the same time would have been fairer.

Xiaomi’s annoying practices aside and based on how good the Mi 9T was during our time with it, the higher-specification Mi 9T Pro will be even more desirable.

Xiaomi also plans to launch its second 5G-enabled phone in the second half of 2019.

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