The first thing people check in the morning and something that is typically on their person at all times just got a jolt to its competition. Smartphones are essentially the central conduit for which most people stay in contact with one another, conduct business, entertain themselves and make purchases. As such, it makes sense that anyone looking to make what they call “easy money” joins the smartphone market and expands as much as possible, and quickly.
One phone maker looking to take the world on with its products is Chinese-based company Xiaomi with its new funding announcement. Xiaomi was just granted a $1-billion loan to help introduce its phones to the world outside China and to help significantly expand its retail business arm. Within this loan grant, 18 banks across the Middle East, Europe and Asia participated in financial contributions.
Xiaomi’s report on this newly awarded grant sheds light on the major funding players. “Deutsche Bank and Morgan Stanley served as joint global coordinator, with Bank of China (Hong Kong) Limited, Deutsche Bank AG and Wing Lung Bank.”
Initially, Xiaomi will follow up its first non-China store in India with a few others in the region and then add an additional 100 locations by 2019.
With a 70 percent increase between Q1 and today, Xiaomi is primed to expand internationally and is hoping to compete on a higher playing field.
What Xiaomi may have on its side is its newness to the smart product market. Apple has been around since 1976, and Samsung has essentially been around since 1938, but Xiaomi was founded in 2010. Through the newness of the company, it’s likely that Xiaomi will be able to take on riskier moves, unlike the older generation of competitors.