Xiaomi plans to invest around $1 billion in Indian startups

After joining Samsung as the top smartphone manufacturer in the country, popular smartphone manufacturer Xiaomi is looking to invest $1 billion in Indian startups. The company will be investing the sum over the next 5 years, according to Livemint's interview with Xiaomi’s founder, Lei Jun.

“In China, in the past four years, we’ve invested $4 billion in over 300 companies. In the next five years, we will invest in 100 companies in India. We will basically replicate the most successful ecosystem business model of China in India. We will have all types of services and products and integrate them. That is the Xiaomi business model. We focus on a few key things and everything else, we let our partners provide. We’ve reached just a huge scale in seven years because of this partnership/affiliation model,” Lei said.

Xiaomi had initially invested in stakes of Hungama and KrazyBee earlier this year. The company has been stressing about providing value-for-money products with better services. With its intention of creating an app ecosystem around its products, Xiaomi aims to differentiate its offerings from its arch rivals and provide an enhanced experience to the Indian smartphone consumer.

(source)