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I believe I read that Xiaomi has an ecosystem model where they sell phones as loss-leaders at low margins in order to build their brand and capture customers fo
by KaoruAoiShiho 10y ago
I believe I read that Xiaomi has an ecosystem model where they sell phones as loss-leaders at low margins in order to build their brand and capture customers for high margin software. I don't think that's going to work as they don't own the operating system.
- dogma1138 10y agoIt will work there are quite a few alternative app stores that do make money. Considering that emerging markets sell phones without google play I would go on a limb and say that most android phones sold now come without the play store.
- dmritard96 10y agoThis is a great point! Because of google services being blocked in China, the play store is unavailable so people download their apps ('A-P-Ps' if talking to someone in China) via 3rd party sites. Trying to become a substantial app distributor is a nice idea but also very difficult between Apple have a locked down platform and serious competition from antimalware companies and others who already have a solid foothold in this space, but I can certainly see the value in trying.
- pcr0 10y agoI think China is the only market where phones are sold without google services. Even when Xiaomi sells to India or Hong Kong, the phones are often "global version" (different ROM), which come with google services because everyone outside China expects them.
- dogma1138 10y agoAfrica, India, Latin America Russia and many super cheap phones in Europe.
- Splines 10y agoThey have https://en.wikipedia.org/wiki/MIUI https://en.wikipedia.org/wiki/MIUI, but I don't know if MIUI enables them to sell services or have their own app store.