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Business News:Xiaomi, China's largest mobile company in India, is now seeing the walls of its own empire crumbling. This company, which was once the first choice of Indian youth, is now out of the list of top-5 brands. Xiaomi's revenue has almost halved in the first quarter of 2025 - and this is not just a business crisis, but also the changed face of India's consumer consciousness.
According to market research firm Canalys, Xiaomi's revenue fell to just $ 47.2 million in the first quarter of this year, while it was $ 85.3 million in the same quarter last year. That is, the company suffered a severe blow of 45%. Not only this, the company's smartphone shipments also fell to 4 million units. This is the first time since 2016 that Xiaomi has been out of the top-5 brands in India.
Xiaomi's decline is not just a story of low-cost mobiles or technological competition. In fact, it is the breakdown of the emotional bond that Indian consumers had built with this brand.
While on the one hand India is taking a decisive stand against terrorism, on the other hand China's alliance with Pakistan is troubling the Indian public. The result Indian customers have started responding directly from the pocket, without sloganeering.
Xiaomi now wants to present itself as a 'premium brand', but lack of authenticity is holding it back. The company's average selling price (ASP) has also fallen to $ 118, which shows that customers are not ready to trust the brand, whether the phone is expensive or cheap.
Canalys analyst Sanyam Chaurasia says, "To be premium, not just the hardware, the soul of the brand should also be premium - and this is where Xiaomi is lagging behind."
Xiaomi India COO Sudhin Mathur clarified that this decline is planned and the company is now focusing on profitable business, not just volume. "We are strong in the market below Rs 15,000, but now in 8-10 quarters we will touch new heights in the premium segment," he said.
But is such a decline also part of the "plan"?
The Indian market has now matured. Here the customer buys not just price, but also trust and emotion. Xiaomi's falling position also shows that Indian consumers are no longer ready to compromise just by calling it cheap and Chinese.
While Samsung, Apple and even Realme are succeeding in creating a premium brand image, Xiaomi's strategy still looks incomplete and unstable.
Xiaomi's decline is not just a statistic, it is the consciousness of the changing Indian market. Where strategy and national sentiment clash, no brand can win on price alone. This is a time of introspection for Xiaomi, because India is no longer just a consumer, it has become a conscious force.