More than a smartphone brand: Xiaomi’s next chapter in Malaysia

KUALA LUMPUR - Xiaomi is expanding beyond the smartphone market as it strengthens its position as a global technology company, with Malaysia playing an important role in its regional growth strategy.

Xiaomi Malaysia country manager Xingyu Yang said as the company's growth and development were driven by innovation, Malaysia served as an important market and a vital benchmark for its operations across the region.

"Our outlook for Malaysia in 2027 is incredibly optimistic as Malaysian consumers are highly adaptive and tech-forward, we expect compounding growth as users upgrade not just their phones, but their entire living spaces,” she told Bernama in an interview recently.

She said the company's focus over the next three to five years would remain on elevating the Malaysian consumer experience across three strategic areas.

These include pioneering experiential retail, expanding its Artificial Intelligence of Things (AIoT) and Smart Mobility horizons, as well as investing in localisation and community engagement, Yang added.

Innovation, Connected Ecosystem Drive Product Evolution

Founded in 2010, Xiaomi entered the Malaysian market in 2014 and has since expanded its business portfolio.

Yang said the company's portfolio had grown beyond smartphones to include smart home technologies, electric vehicles and a broader intelligent ecosystem.

Through its Human x Car x Home ecosystem, for example, Xiaomi has strengthened its brand positioning by connecting smartphones, smart home appliances and smart mobility products through its HyperOS operating system.

"With HyperOS connecting smartphones, smart home devices and smart mobility solutions, it creates a seamless, unified smart ecosystem," Yang said.

She also said Xiaomi's premiumisation journey was driven by technological innovation and its Human x Car x Home ecosystem strategy.

The Chinese technology company is currently ranked No. 232 in the 2026 Fortune Global 500, marking its eighth consecutive year on the list, and placed No. 81 in the Top 100 Most Valuable Global Brands by Kantar BrandZ.

Yang said that for Malaysia, the mobile segment, which remains the central anchor of Xiaomi's ecosystem, secured the second position in the smartphone market with a 16 per cent market share in the second quarter of 2026, while taking the top spot in the tablet market with a 23 per cent share during the same period.

"This robust mobile foundation gives us the perfect launchpad as we continue to introduce innovative flagship devices like the upcoming Xiaomi 18 Pro Series.

"However, our most explosive momentum is currently being driven by year-on-year sales growth in our Smart Home and AIoT (Artificial Intelligence of Things) segments. The data clearly shows that our transition into a comprehensive lifestyle brand is resonating with Malaysians," she said.

Xiaomi's expansion into electric vehicles also reflects its move beyond consumer electronics, with its SU7 series surpassing 500,000 cumulative deliveries in August 2026.

Moreover, its strong presence in Malaysia is reflected in year-on-year sales growth across key smart home product categories, including smart air conditioners (314 per cent), air purifiers (80 per cent) and dehumidifiers (75 per cent).

Yang said these figures demonstrated growing recognition of Xiaomi's products among Malaysian consumers across various segments.

She said Xiaomi Malaysia, which recently celebrated the milestone of opening its 100th Xiaomi Store in the country, would continue to expand its retail presence, shifting its focus from simply increasing its footprint to establishing larger, immersive experiential stores.

"As our product catalogue grows, we want these spaces to allow consumers to physically step into a store and experience a connected 'Xiaomi Smart Home' environment before making a purchase," she said.

Since entering Malaysia in 2014, Xiaomi has established a presence across smartphones, tablets, wearables and major household appliances, with its retail network now reaching 100 stores nationwide.

Yang said the company would continue expanding its store network to strengthen its physical presence and improve access to its products as it seeks to establish itself as a technology and lifestyle brand beyond smartphones.

"We will leverage our strong smartphone market share to act as the central command hub, while aggressively expanding our major smart home appliance portfolio," she said.

Yang said the company would also introduce more wearables and next-generation smart home security products, while laying the groundwork for broader smart mobility integration as the technologies became viable for global markets.

It also plans to expand its local service teams and product offerings, alongside developing larger experiential stores where consumers can explore its connected devices and smart home solutions.

"We are also heavily investing in our local after-sales infrastructure and retail presence, backed by a growing network of 100 Xiaomi Stores nationwide, including in Sabah and Sarawak.

"By delivering this level of localised support, uncompromising quality and accessible pricing, we are solidifying Xiaomi's position as a permanent, reliable fixture in the daily lives of Malaysians," Yang added.

Looking ahead to 2027, Yang expects further growth in Malaysia, with the company's focus remaining on flagship smartphones, smart home and AIoT segments. - BERNAMA