Will the LED Industry be Xiaomi’s Next Milestone?

Xiaomi has established itself within three years, manufacturing electronic hardware products such as smartphones, set top box, television, and routers all under the leadership of Lei Jun, Founder, Chairman, and CEO. The company focuses on smart household appliances, but in the future plans to ultimately turn towards smart living room and bedroom.


The smart home market has great potential. Smart home construction or remodeling demand scale reached RMB 7 billion (US$ ?) in 2012, but is anticipated to skyrocket up to RMB 100 billion by 2020. Roughly RMB 600 billion is estimated to be spent on upgrading household appliances and lighting into smart designs. Faced with new opportunities, Xiaomi has completed establishing a strategy in the household appliance market should set their sights on smart lighting.


In a recent talk with one of Apple’s founders Steve Wozniak, Lei Jun spoke about the company’s three milestones: “We believed that mobile phones would replace pcs becoming the central hub for electronic consumers. So, we began to make mobile phones. Afterwards, to resolve input problems for mobile phones, we knew a larger screen was needed. We then considered making set top boxes and televisions. After the problem was rectified, we thought about how internet capabilities were a key component so we started to consider routers. Routers then lead us to discover that the lack of development in smart houses was due to a absence of control systems.” Xiaomi router is the company’s initial entrance into smart house design. In order to improve functions of the router and use in smart housing, Xiaomi invested in Xunlei which deepened cooperation in several different product lines as Xiaomi has the hardware and Xunlei has the software. The main reason however behind the two companies  partnership is the consensus reached on home living room strategy .


With the introduction of LED into general lighting and development of functionality, areas such as surfing the Internet with LED lighting lifi, LED lighting household music Party, LED lighting household sunlight health care strategy, household entertainment, and healthy living are all developing and popularizing. According to the company’s model and Lei Jun’s concept, Xiaomi will definitely enter the LED lighting industry because with the addition of lighting, the company’s smart household strategy is complete.


Xiaomi might not construct their own factory tomanufacture lighting, but will form partnerships to strategize LED lighting and receive a share of the market as the opportunities in this populars field are large. The company’s model and internet concept are able to push the development of the lighting industry.
 
source: LEDworld

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