Apple of China setup R & D in Bengaluru, technology capital of India. Chinese Smartphone maker Xiaomi, planning to start the research and development centre from August, 2015.
“We have taken a 20,000 sq ft building on lease for R & D centre in Cessna Business Park, Bengaluru.” Manu Jain, head of operations during the launch of Xiaomi Mi Note. He further added “due to regulatory constraints, Xiaomi is setting local data centres in India this year, the company is exploring, along with its manufacturing partners in China, financial requirements and tax implications of setting up a manufacturing plant in India.”
Xiaomi was planning to setup their R & D facility in India, immediately after the launch of their phones during August, 2014 will have an team which concentrates on products that are relevant to India. While on the production side Xiaomi does not want shift their locations from China and Taiwan.
After the launch of Xiaomi phones in India, the smartphone maker has surged to top slots in terms of sales. However the sales have been stunted due to security concerns and court injunctions. The tie up with Airtel leading mobile phone company in India, in terms of revenue and sales help Xiaomi to spruce the volumes.
Chinese goods are famous for low quality which Xiaomi is trying to overcome the notion. Now Xiaomi investing in after sales services by setting up exclusive services centres in Bengaluru and New Delhi. “Our aim is to expand this as much as possible. At least have our own exclusive stores in tier 1, tier 2 cities. Have larger format experience stores, have multi brand outlets to cater to top 50 – 100 cities as soon as possible” said Manu Jain.
Xiaomi has surpassed Samsung in terms of sales for last year. The company is poised for top slot for the current year too. Xiaomi mimicking strategy in India, they used in China to push up sales. In terms of sales, flash sales thru tie ups with Flipkart and other vendors.
Xiaomi plans to expand its operations in other key markets such as Russia, Mexico, Turkey, Indonesia and few other countries uses low price phones with high features.
One thing for sure that the Indian experiences Xiaomi gains through research and development in customizing the phones and knowledge gains will definitely help the company’s spread into other countries.