Xiaomi overtakes Apple to become the world’s second largest smartphone maker

This is the first time that Xiaomi has taken second place in the Canalys report. In the first quarter of 2021 and for the whole of 2020, Samsung (SSNLF) and Apple (AAPL) were the two biggest smartphone brands in the world. In 2019, Samsung and Huawei were at the top of the list.

“Despite the celebrations now, I want to make sure that we can maintain our second place steadily and firmly in the future,” he said.

Xiaomi stock jumped nearly 5% in Hong Kong on Friday.

Xiaomi’s global expansion and retail strategy – it wants its online and physical locations to operate more transparently – drove its second-quarter shipment growth, the company said in a statement on Friday.

Canalys research director Ben Stanton also said in the report that Xiaomi was “rapidly expanding its business overseas.”

In the second quarter, Xiaomi’s shipments increased by more than 300% in Latin America, 150% in Africa and 50% in Western Europe, according to Canalys.

The Chinese smartphone maker still largely targets budget-conscious consumers, Stanton said. Compared to Samsung and Apple, Xiaomi’s average selling price is around 40% and 75% cheaper, respectively, he added.

“All suppliers are fighting hard to secure component supplies amid a global shortage, but Xiaomi is already aiming for the next price: replacing Samsung to become the largest supplier in the world,” said Stanton.

The company has also benefited from the improving global economy, added Canalys. The vaccine rollout has brought some countries closer to normal and people are spending more money again. In the second quarter of 2021, global smartphone shipments increased 12%, the research firm said.

Stanton expected that a top priority for Xiaomi this year would be to sell more of its high-end devices, such as the Mi 11 Ultra.

“But it will be an uphill battle,” he said, as rivals like Oppo and Vivo share the same goal.