In 2024, Xiaomi achieved an extraordinary feat when it surpassed Apple to take the second position in the global smartphone market. Xiaomi’s aggressive worldwide expansion and cheap prices have allowed it to thrive in the harsh environment known as the smartphone market and have absolutely shattered the limits set by Asia(woah).
Xiaomi gained the upper hand in the market, particularly in Asia, by providing quality smartphones at far more reasonable costs than Apple (big surprise huh), which granted Xiaomi the momentum it needed heading into the time of Apple’s seasonal sales drop as a result of the then near-release of the IPhone 16. Apple struggled to hold onto market share even with their premium products and strong brand reputation. The main reason for Apple’s downfall was the drop in investments in tech stocks as borrowing has become more costly due to rising inflation and interest rates.
Apple positions itself as a premium brand, emphasising design, user experience, and a closed ecosystem. Its products are often priced at a premium, reflecting the brand’s commitment to quality and innovation. Apple’s iOS offers a seamless experience across devices, creating a loyal customer base. The company invests heavily in marketing, fostering a brand identity synonymous with luxury and cutting-edge technology.
While Xiaomi appeals to a broader demographic through affordability and functionality, Apple attracts consumers seeking a high-end experience. Both companies have carved out significant market shares, but their divergent philosophies—Xiaomi’s value-driven model versus Apple’s luxury branding—illustrate the diverse strategies that can lead to success in the competitive tech landscape.
In general, Xiaomi’s success in surpassing Apple in 2024 was largely due to their well-timed and smart actions. Their emphasis on efficiency, creativity, and customer prioritisation enabled them to seize a substantial share of the worldwide smartphone market. As a result, Xiaomi’s market value significantly increased, securing its place as a significant participant in the sector.
