Xiaomi Moves Against Samsung in Korea changing the smartphone game

Xiaomi is moving against Samsung as it eyes its home turf, Korea. On top of entering the Korean market officially, Xiaomi contnues to break away from the smartphone game, offering high end specs to low-priced mobile units. Can Xiaomi overtake Samsung and change the smartphone sector completely?

Industry sources said on Aug. 27 (via Business Korea) that Xiaomi officials from China will be visiting Korea to meet G market officials as part of its new business bid. The meeting will discuss contract over possible online distribution channels for the company. Currently, Xiaomi has no distribution channel in Korea only individual contractors and parallel importers offering its mobile devices either offline or online.

Analysts see this as a huge move on Xiaomi's part and its business potential considering that the smartphone sector was only divided into high end and low end phones. These segments were previously dominated by Apple and Samsung. Upon Xiaomi's entrance, low-priced mobile units started offering high end features giving more value to consumers' money.

Forbes' Panos Mourdoukoutas shared how Xiaomi can further overtake competitors: "First, it closes the gap between the upper and the lower segments of the smartphone market. Second, it helps Xiaomi gain market share, as already evidenced in China, where the company holds 18% market share. Third, it helps Xiaomi up the game, move from emerging markets to mature markets, and eventually attack Apple and Samsung in their home base." This further puts pressure on Apple and Samsung to move away from their traditional competition into a more adaptive business model.

Nonetheless, Samsung and Apple are still pursuing their separate bids into the smartphone industry. Samsung just released a series of handsets whereas Apple will be launching a new iPhone 6s series this coming September. Whether or not Xiaomi can perform past these companies depend on the performance of their smartphone releases. Apple remains mum on what people should expect from the new iPhone lineup.

Contact the writer at feedback@ibtimes.com.au, or let us know what you think below.