Xiaomi Eyes $725 Million Expansion to Stave Off Huawei in China
- It’s aiming to establish more stores and boost marketing
- Xiaomi is said to be keen to ward off a hard-charging Huawei
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Xiaomi Corp. aims to spend an additional 5 billion yuan ($725 million) expanding its Chinese retail network over the next three years, anticipating a re-doubled effort by Huawei Technologies Co. to grow its domestic market share.
The smartphone maker will spend the money on expanding distribution channels and on reward programs for its partners and sales employees, a person familiar with the matter said, citing an internal meeting convened by billionaire co-founder Lei Jun Tuesday. That spending comes on top of an existing budget for building up its retail operations. Chinese media outlet Caixin reported on the investment earlier.