Tag Archives: Huawei

The Chinese smartphone giant Xiaomi will go public in Hong Kong in July

The fourth-largest smartphone maker Xiaomi are planning to go public, and the company will start a roadshow in the U.S and Europe in a few weeks. After a collaboration with institutional investors in the U.S and Europe to value the firm at no less than $70 billion, the Chinese smartphone giant will go public in Hong Kong in July.

In my recent article I talked about Foxconn and their plans to go public a week ago, and more Chinese companies are on the way, One of them is Xiaomi, and their IPO is the biggest IPO so far in 2018 which is good for Hong Kong.

(Xiaomi`s profit is “only” $2, but their biggest market is India)

 

Hong Kong is on the way to be the destination of choice for global companies seeking to raise capital. Hong Kong marks the 21st anniversary of the citys return to Chinese sovereignty on July 1, and Xiaomis IPO can be a great birthday present to Hong Kong.

Xiaomi went from a start-up to surpass $16 billion in seven years, and their founder Lei Jun decided to make a smartphone brand selling handsets at “honest” prices. Eight years later, Lei Jun and the seven other co-founders have made a company that wants to challenge the global industry dominance by Apple, Samsung and Huawei.

Xiaomi are the cheapest smartphone on the market with the biggest market share in India. About 70 percent of their 2017 sales of 114,6 billion yuan came from smartpones, but there is a huge difference between Xiaomi and Apple.

Lei Juns profit from his low-budget price smartphone is "only" $2 per handset. Tim Cooks margin is between $151 and $250 on each iPhone.

Xiaomi more than doubled its overseas shipments to 27 million handsets in 2017. Its revenue skyrocketed to 32,1 billion yuan. There is no doubt that the global market is where their ambitions lie, and this is globalization at its best.

Xiaomi opened its first European sales outlet in Paris and plans to open additional Mi stores in France, Spain and Italy later this year.

Xiaomi do not only have a big potential with its smartphones but also from smart devices, better known as the Internet of Things (IoT). Industry revenue may balloon every year at a 13,3 percent compounded growth rate to $6,2 billion by 2021, according to IDC.

Their innovative products will make a tremendous change in every industry.

Xiaomis valuation can be $100 billion and it will be the biggest IPO since Alibaba in 2014. Alibabas IPO was the biggest IPO of all time with its 25 billion IPO in New York. Facebook went public in 2012 with an $16 billion IPO.

Former communist China are on the way up. This IPO will make even more rich people in China. Founder Lei Jun and his co-founders will be rich after the IPO. Not only that. 56 of the earliest employees pulled together $11 million to invest in the start-up. Today, they are the lucky 56.

Their stake in Xiaomi may soon be worth about $1 billion to $3 billion, depending on the stock sale. That works out to $36 million each at the midpoint.

Citic-CLSA, Goldman Sachs and Morgan Stanley had been appointed to arrange Xiaomi`s stock offer.

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Google will launch its brand new phone Pixel 2 within a few weeks

It is a big day for Tim Cook and Apple today. The most expensive iPhone you`ve ever bought will be launched and that is happening ten years after its first release of their iPhone. That was then in 2007, but now it is 2017 and iPhone 8.

But Apple wont be long in heaven before I introduce another new phone on the market. Googles new release of their new phone called Google Pixel 2. Google Pixel and Pixel XL were both launched in October last year, so Pixel 2 will be launched next month, October 2017.

 

 

It isnt the most innovative product I have seen so far, but what I have seen is only leaked cases. The Pixel line is new and its building on the new defunct Nexus range. Apples new phone will be expensive, but you shouldnt expect Pixel 2 to be any cheaper than the old one.

The old one from Google started at about $650, so it was already expensive.

Rumors tells us that the new Google phone will be a curved screen with a 5,6 inch 18:9 display and a 2,560 x 1,312 resolution. With its use of AMOLED it will be very similar to Samsung Galaxy S8. Further more, it is rumored it will be a Snapdragon 835 chipset for all three Pixel 2 handsets.

The competition in the phone market increase and search giant not only face big competition from Apple but also from Xiaomi and Huawei. The last one remains Chinas top smart phone brand and Xiaomis sales are still climbing.

Xiaomi shipped 15 million phones during the quarter to rank fourth in China. That`s a 60% rise from Q1 2017. Huawei shipped 23 million ahead of brother-sister companies Oppo (21 million) and Vivo (16 million). Apple completed the top 5, having been leapfrogged by Xiaomi.

Xiaomi is the opposite of Apple with its price-conscious consumers. CEO Lei Jun hailed Xiaomi`s resurgence this year, calling it this most recent quarter «a major inflection point in our growth.»

«After two years of internal recalibration Xiaomi is once again embarking on a rapid growth trajectory,» Lei Jun told the press. He added that the company is aiming to reach 100 million phone sales in 2018.

Competition from Oppo, Vivo, Xiaomi and Huawei are placing them all in the price-conscious to mid-range devices category. They are more likely to succeed in Asia than Google and Apple in the West.

 

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

 

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OPPO is growing much faster than its competitors

I remember the first day I bought my first mobile phone. It was in 1992. It was a big black phone and that beast was three times bigger than an ordinary Apple phone. After a few minutes in my conversation, the battery was flat, and I spent hours to fill it up again.

It didn`t take long before I bought a new one; Ericsson from Sweden. Once one of the greatest in the world. I changed the phone onece again, and this time to Nokia from Finland. Also one of the greatest in the world.

 

oppo-growth

 

Both, Ericsson and Nokia are falling stars. The Americans came into the market and Apple started to rule the world. Not only that. In a short period of time, they became the biggest company in the world. But how is it now?

There is no doubt that China is the largest smartphone market in the world, and Apple is not at the top three. Smartphone shipments in Q2 amounted for 111,2 million units, and top thee vendors in China accounted for 47% of total shipments.

Who are at the top three? Is it Ericsson? Nokia? Or Apple? No, none of them are at the top three. The biggest names are Chineese brands like Huawei, OPPO and Vivo. Its a surprice to see that Apple are fifth in this important market. Its a bigger surpise to see Samsung below top five.

Its a big market, but its also a very important market, and Its also a big surprise to see the low cost company Xiaomi has dropped down about 40%. Its obviously tough for them to grow in the market with so many aggressive competitors.

OPPO is one of the greatest. Up over +124%. The company is founded in 2004 and the brand is a Chinese electronics manufacturer based in Dongguan, Guangdong.

OPPO Digital is based in Mountain View, California, Unitted States. It is known for its universal upconverting DVD and Blu-ray Disc players. Its first product was the OPPO OPDV981H Up-Converting Universal DVD Player.

OPPO entered the mobile market in 2008.

Last year, OPPO signed an agreement with FC Barcelona to become an official partner of the Spanish football club. OPPO has become a stiff competitor in the Chinese market, which is growing faster than any other mobile company.

 

asphalt

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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