Xiaomi is braking. Phones are cheaper, but interest is falling anyway

Xiaomi ends the year on a positive note, but these are no longer the pirouettes of the past. A 7.3% increase in revenues year-on-year is a result that would delight many companies, but at the same time it was a clear slowdown compared to previous periods, when double-digit growth rates were ensured by sales on the mobile market rebounding after the pandemic. Now the mobile phone is dead and it’s only going to get worse.

Despite significant successes on the electromobility market (Xiaomi delivered 145,115 cars, more than twice as many as a year earlier), it is not electromobility but smartphones still account for the lion’s share of the company’s business, and there are clear cracks here.

In the fourth quarter, handset sales volume fell 11.6% to 37.7 million units, and segment revenue shrank 13.6% to 44.3 billion yuan. Importantly, the average price of the device decreased by 2.2%, to 1,176 yuan, despite the brand’s strategic shift towards premium models.

And it will only get worse, because according to Counterpoint Research forecasts, global smartphone sales may decline by as much as 12% in 2026, reaching the lowest level since 2013. The smartest will survive, although even Samsung laments that it will be more expensive.