Xiaomi’s direct entry into the Australian market is progressing on schedule, with the Chinese tech giant yesterday unveiling an extensive lineup of Black Friday deals.

The company is offering discounts of up to 48% on robotic vacuum cleaners and 30% off its Xiaomi 15T flagship smartphone, a device co-engineered with Leica and recognised for its top-tier camera performance. Positioned as a challenger to Apple, Samsung and Motorola, the 15T is now selling for under $1,000.

Although Xiaomi is currently selling primarily online in Australia, ChannelNews understands that a major retailer is in discussions with the company, which recently reported that its third-quarter net profit more than doubled.

A key driver of Xiaomi’s global expansion is its Internet-of-Things (IoT) ecosystem, now one of the largest in the world. Its strategy—built on incubating startups, investing in niche product categories, and fostering an open, interoperable ecosystem—has helped create an extensive network of smart home and connected lifestyle devices all managed through the Mi Home app. Sources say property developers represent one of the company’s biggest growth markets for IoT solutions.

The Beijing-based company reported its net profit surged to A$2.658 billion, while overall revenue climbed 22% to A$24.43 billion, driven by strong growth from its EV and IoT divisions. Ironically, performance in its core smartphone business slipped.

Xiaomi’s smartphone segment, still its biggest revenue contributor, generated A$9.94 billion, down from the previous year. The decline stemmed largely from lower average selling prices, though this was partially offset by increased shipment volumes.

Revenue from IoT and lifestyle products rose 5.6% to A$5.95 billion, with Xiaomi preparing to launch additional products in Australia next year. The company attributed the increase to strong sales in wearables and various lifestyle devices—categories analysts expect to grow by double digits in 2026.

One looming question is whether Xiaomi will introduce its electric vehicles to the Australian market next year. In the last quarter, the company delivered a record 108,796 vehicles, with the automotive division generating high margins and helping lift overall gross margin to 22.9%, up from 20.4% a year earlier.

While recent results have been encouraging, analysts remain cautious about Xiaomi’s outlook amid concerns over EV production capacity and tightening smartphone margins. The company’s shares have fallen 23% since September.

Rising memory chip prices driven by global AI demand are also expected to pressure smartphone profitability. Late last month, Xiaomi introduced a special launch offer for one of its new smartphones after customers pushed back against a higher-than-expected starting price.

Additionally, growth in the IoT segment is expected to slow significantly as government subsidies wind down and the company cycles a strong performance from last year, when China’s nationwide consumer-goods trade-in program temporarily boosted demand.