Xiaomi climbs to 2nd position in growing smartphone market

The Chinese smartphone market remains in excellent health with shipments rising by 9% year-on-year to 68.7 million units in Q1 2025, according to the most recent TechInsights report. It is the fifth straight quarter of growth for the market, with Xiaomi taking strong second position with 19% market share, behind only Huawei’s 20%. The focus by the firm on competitive pricing and innovative features has obviously been well-received with consumers, enabling it to outsell most of its main competitors in this extremely competitive market.

Market leaders will benefit from the national subsidy program.

Xiaomi’s success has been largely due to some key reasons, foremost among which is China’s national consumer electronics subsidy program. According to the report, both Xiaomi and Huawei have gained much from the program because they fell under the following

Opportunities for verification of eligibility and program compliance
Streamlined offline distribution channels facilitating effective product delivery
Robust product portfolios satisfying the subsidy eligibility requirements

The subsidy scheme has been effective at generating replacement demand, encouraging consumers to replace their devices before they might normally have been expected to.

Competitive Landscape Shifts

The report shows wide-ranging changes in China’s smartphone market’s competitive base:

Huawei leads with 20% market share
Close behind is Xiaomi with 19% market share
OPPO (OnePlus included) takes third position with 16%
vivo is fourth at 15% market share
Honor and Apple tie for fifth place with 13% each

Whereas OPPO and vivo saw relatively stable year-on-year shipments, both Apple and Honor fell below the overall market level. Meanwhile, the top six manufacturers take up 96% of the shipments now, from 95% of last year, reflecting growing market concentration.

What This Means to Xiaomi Fans

This impressive market performance is indicative of continuing to invest in innovative offerings and aggressive pricing strategies by Xiaomi. Expect to see some interesting new releases and enhancements later in the year as the firm rides its market wave.

To have the most current information about Xiaomi devices and functionalities, one needs to download the HyperOSUpdates.com app or the MemeOS Enhancer from the Play Store. MemeOS Enhancer provides extra functionalities such as unlocking secret features of Xiaomi, updating system apps, and viewing updates from the screen itself.

Source: ITHome