The Next Part Of The Cycle: Piling On Xiaomi

Xiaomi & The Under Gnomes Business Model

Let me cut to the chase:

Amusingly (tragically?) Xiaomi’s underwear gnomes plan isn’t even a new idea. Among phone makers, you can see it as far back as Nokia’s catastrophically bad CEO (no, not the one you’re thinking of) proclaiming in 2007 that the world’s biggest phone maker was not to be a phone maker, but an “Internet services company” that just happened to be making phones.

That, of course, ended with Nokia being a company that makes neither.

It’s perhaps more difficult to ascertain what’s real in China than it once was in Japan. It’s a very weird set-up, more convoluted than Japanese keiretsu, with business relationships based on blood as well as reputation.

But I wouldn’t be at all surprised if Lei Jun had Xiaomi make so many non-phone investments precisely because Internet Services is a fiction.

We’ll see.

Previously here:

Xiaomi: 70 Million Phones Sold In 2015
Xiaomi: Trouble In Unicorn Paradise

This entry was posted in Other Stuff. Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.