XIAOMI(HK:01810) Xin Lang Cai Jing·2026-01-22 10:08Core Viewpoint - The competition in the Chinese smartphone market is extremely fierce, with slight differences in market positions among leading brands, as highlighted by the activation volume rankings for 2025 [2][4]. Market Rankings - The top five brands in terms of activation volume for 2025 are: 1. Vivo (including IQOO) with 46.36 million units and a market share of 16.77%, showing a decrease of 2.58% from 2024 2. Xiaomi (including REDMI) with 45.88 million units and a market share of 16.60%, increasing by 5.41% from 2024 3. Apple with 45.21 million units and a market share of 16.35%, increasing by 9.34% from 2024 4. OPPO (including OnePlus and realme) with 43.99 million units and a market share of 15.91%, increasing by 7.63% from 2024 5. Huawei with 43.40 million units and a market share of 15.70%, decreasing by 0.96% from 2024 [3][15]. Discrepancies in Data - There is a notable discrepancy between the activation volume and shipment data, with Huawei ranking first in shipment volume according to major research firms, while it ranks fifth in activation volume [5][17]. - The difference in rankings has raised questions about the accuracy of the data, particularly why Huawei's shipment figures exceed its activation numbers by over 300,000 units [20]. Sales Channels - The majority of smartphone sales in China occur through offline channels, which account for approximately 70% of total sales, while Xiaomi has historically leaned towards online sales [6][18]. - The sales process involves multiple stages: Sell In (SI), Sell Through (ST), and Sell Out (SO), with most research firms reporting on SI data, while actual user activation (SO) remains confidential [19]. Xiaomi's Strategy - Xiaomi's activation volume surpasses its reported shipment volume by approximately 200,000 units, attributed to its direct online sales model, which shortens the time from shipment to activation [10][21]. - During the 2025 Double Eleven shopping festival, Xiaomi reported total sales exceeding 29 billion yuan, highlighting the effectiveness of its online sales strategy [22]. High-End Market Focus - Xiaomi has been focusing on high-end market penetration since implementing its dual-brand strategy in 2019, investing around 105 billion yuan in R&D over the past five years [11][22]. - The company aims to compete directly with Apple and Huawei in the high-end segment, where it currently holds a market share of only 7.4% compared to Apple's 48% and Huawei's 33.4% [12][22]. Technological Investments - Xiaomi is investing in self-developed SoC chips to enhance its competitive edge in the high-end smartphone market, indicating a long-term commitment to building a strong brand presence [23].