Reporter/Fan Jia Lai
The Mi 13 will raise its price.
The price of Xiaomi's upcoming flagship Mi 13 series is expected to be raised by 15-20% to 4,500 yuan due to factors such as upgraded positioning, cost, pandemic and exchange rate fluctuations, the Paper exclusively learned on November 24.
At present, this series of products has begun mass production, all with 4nm chips.
The Mi 13 does represent a significant price increase over previous flagship phones. The Mi 12 starts at 3,699 yuan, with configuration for the 8GB+128GB version, 3,999 yuan for the 8GB+256GB version and 4,399 yuan for the 12GB+256GB version.
Xiaomi's smartphone revenue and shipments have declined recently. Xiaomi announced its third quarter 2022 financial results on Nov 23. In the third quarter of this year, Xiaomi's total revenue was 70.47 billion yuan, down 9.7% year on year. Net loss (period loss) of 1.5 billion yuan, compared with profit of 788 million yuan in the same period last year; Adjusted net profit was 2.1 billion yuan, down 59.1 percent from a year earlier.
In the third quarter, the total revenue of Xiaomi's smartphone business was 42.5 billion yuan, a year-on-year decline of 11.1% and a quarter-on-quarter growth of 0.6%; Global shipments were 40.2 million units, compared to 43.9 million units in the same period last year, down 8.4% and up 2.8% sequentially.
"Global inflation, interest rate hikes in the US dollar, exchange rate fluctuations have brought us a lot of uncertainties, and the recurrence of the pandemic has also had a big impact on us." In a post-earnings conference call, Xiaomi President Wang Xiang explained. "The good thing about the third quarter is that smartphone shipments, revenue, gross margins were up a little bit quarter-on-quarter. We did see a decline in handset shipments this year compared to the same period last year, but on a quarter-on-quarter basis, we were able to hold the line."
The price increase of the Mi 13 is also part of Xiaomi's premium strategy. With the release of the Mi 10 in February 2020, Xiaomi has officially entered the high-end market. Earlier, at the launch of the Mi 12 series, Xiaomi founder Lei Jun said that Xiaomi will officially compete with Apple and step by step surpass Apple in the future. He also announced on Weibo that Xiaomi's high-end phones would "learn from Apple" in terms of product quality and specifications.
"The last time I proposed to bid against Apple, it was immediately searched on Weibo and met with a lot of cynicism." Mr Lei said. "I think domestic phones should have such courage, why not compare? "By comparison, you may find that the strength of domestic phones is much stronger than you think."
In a conference call yesterday, Mr Wang said it was wrong to think that one or two products would be a quick winner in the high-end market. At present, Xiaomi hopes to make steady progress. It should not only pay attention to parameters, but also pay attention to user feedback and reputation, so as to continuously improve its brand capability.
According to Xiaomi's official Weibo account, the Mi 13 series will "refresh the perception" and may be the most powerful and powerful phone in Xiaomi's history.