There are indeed too many X rices, so many that sometimes I can’t tell them apart. However, many people don’t care what kind of rice they are when buying them. They just remember that they are from the Xiaomi ecological chain. However, some brands have given their brands names that are close to Xiaomi's style in order to capitalize on Xiaomi's "affordable but high-quality" popularity. In addition to Xiaomi, which has already IPOed, other companies invested by the "Xiaomi series" platform have covered all aspects of people's lives. You will find that the iQiyi you have watched, the Dianping you have used, the ofo you have ridden, and even the Yuanmai hills you have eaten all have the taste of "Xiaomi". It is true that Lei Jun is an investment genius. As early as his time at Jinshan, Lei Jun had already tried various diversified investments and achieved success.
Xiaomi’s strong investment capabilities
Lei Jun’s investment focuses on following the trend, so his investment company is called Shunwei Capital. “Follow the trend and follow the trend.” In Lei Jun’s view Come on, this is one of the necessary conditions for success. Shunwei Capital mainly pursues financial returns, while Xiaomi Technology’s investments tend to be driven by strategic value. At present, Shunwei Capital has invested in 288 companies, and Xiaomi Technology has historically invested in 161 companies. Among these nearly 400 invested companies, 64 companies are invested in joint ventures.
Initially, Xiaomi started to build an ecological chain from mobile phone peripherals. For example, the first popular product it created was the mobile power supply launched by Zimi Technology; then it spread to smart hardware related to smart homes and smart life, such as Air purifiers, Xiaomi rice cookers, etc.; and finally expanded to towels, shoes, pillows and other daily necessities, forming Xiaomi's taste and values. Enterprises in the Xiaomi ecological chain that once relied on the Xiaomi brand have begun to support Xiaomi, not only allowing it to successfully survive the low performance in 2016, but also laying a good foundation for Xiaomi to transition from a single mobile phone manufacturer to a "department store". In 2017, Xiaomi ecological chain sales exceeded 20 billion, with performance growth exceeding 100%.
Both software and hardware products are involved
Hardware ranks first in the investment fields of Shunwei Capital and Xiaomi Technology, the two major investment platforms of the "Xiaomi Series", with the total investment amount of the two reaching 7.38 billion. In addition, Xiaomi Technology prefers to invest in companies related to culture, entertainment, local life and enterprise services, while Shunwei Capital has a presence in the fields of enterprise services, e-commerce, automobile transportation and education. It is worth noting that in recent years, both the number and amount of investments in the financial field have increased.
Therefore, with hardware as the core, the "Xiaomi Series" not only expands the industrial chain, increases sales performance, and improves the square footage efficiency of "Xiaomi Home", but also through the Xiaomi ecological chain and cultural entertainment, The layout of enterprise services and e-commerce has connected users, established investment barriers, and created a large-scale closed loop of intelligent Internet of Things. Through equity investment, Xiaomi not only received generous investment returns, but also expanded the extension of the entire Xiaomi ecosystem, forming a huge Internet empire with Xiaomi as the center. However, financial returns have never been Xiaomi’s focus. Entering the board of directors through equity investment and exporting values ??consistent with Xiaomi’s to the invested companies are the essence of Xiaomi’s model. Xiaomi's model for building an ecosystem can be summarized as: model empowerment + fan empowerment + capital empowerment.
Some companies are leaving Xiaomi
It can be seen that the relationship between Huami and Xiaomi is currently very tense. Specifically, everyone knows that Huami’s values ????and Xiaomi’s cannot go together. As the saying goes, when a child gets older, his heart becomes wild, and he even wants to get together with hw. Xiaomi executives took a look and realized that this was not possible, so the Xiaomi color watch was manufactured by Shanghai Xinchen Technology. Xiaomi also independently launched its own APP, Xiaomi Health.
Zimi is one of the major contributors to the start-up of Xiaomi’s ecological chain. In fact, we can see something about it some time ago. Xiaomi notebooks were originally produced by Tianmi, but now they are gone. Xiaomi has an additional department called Xiaomi Notebook Division.
This sends a signal that Xiaomi will strengthen the management of the ecological chain
When it comes to Huami, the outside world will not only think of Xiaomi bracelets, but also label it with " Labeled "Xiaomi Series", Huami is the first listed company in the Xiaomi ecological chain and landed on the New York Stock Exchange in February 2018. Anyone with a discerning eye can see that Xiaomi plays an important role in Huami's development and exerts a huge influence on it, especially affecting its business layout. How dependent is Huami on Xiaomi? Let me list a set of data for your experience: In 2015, 2016 and the first three quarters of 2017, the revenue contributed by Xiaomi accounted for 97.1%, 92.1% and 82.4% of Huami's total revenue respectively, making it Huami's most important customer and distribution channels. When Huami announced its IPO prospectus, the outside world questioned its excessive reliance on Xiaomi.
Although Huami will not compete with Xiaomi or other Xiaomi ecological chain companies (Huami later competed with Xiaomi in the field of smart watches), the proportion of its single major customer is too concentrated, and the large customer Other important related parties are also important shareholders, so Huami’s independence is questionable. In fact, Huang Wang, the head of Huami, has long been aware of the potential risks of relying on Xiaomi. As early as 2015, Huami launched its own brand Amazfit. Since then, there have been endless rumors about Huami going solo, but until the launch of the Amazfit brand, it was basically just a small business, and it was not a big deal at all. Xiaomi has always been its most important revenue driver, which is enough to explain the problem. Huami's real full-scale development of the Amazfit brand is to vigorously deploy popular categories such as smart watches and smart bracelets after its launch.
It’s not easy to leave Xiaomi
During the epidemic, Huami’s business advancement has been greatly impacted, making it even more afraid to easily get rid of its dependence on Xiaomi. A real hammer is that Huami Mi officials carefully explained the industrial and commercial changes. In April this year, Huami's operating entity, Anhui Huami Information Technology Co., Ltd., underwent a number of industrial and commercial changes. Xiaomi co-founder Liu De withdrew from the board of directors and added Zhang Xiaojun as a director; Huang Wang's shareholding ratio changed from approximately 54.89% to 99.40%, director Lu Yunfen’s shareholding ratio changed from approximately 0.33% to 0.60%.
At that time, the outside world once believed that Xiaomi was no longer a shareholder of Huami, speculated that the relationship between the two might change, and questioned whether Huami could continue to be brilliant after going solo. This made Huami officials very nervous and had to clarify that this was just a normal industrial and commercial change. Xiaomi still holds 14.5% of its issued share capital and is its second largest shareholder. It is not difficult to see that the stability of the relationship with Xiaomi has always been a sensitive issue related to Huami's vital interests and must be handled with caution.
To put it bluntly, this move reveals that Huami has a strong desire to survive. It is worth noting that the strategic cooperation agreement signed by Huami and Xiaomi in October 2017 will expire in 4 months. I conclude that the possibility of renewal between the two parties is very high, because Huami still needs Xiaomi and wants to If you want to fly solo, your strength simply won’t allow it.
Several major ecological chain companies have been listed!
As of now, the listed companies in Xiaomi ecological chain include Huami Technology, Yunmi Technology, Stone Technology, and Robot Nine. Among them, Huami Technology and Yunmi Technology are listed on the New York Stock Exchange and Nasdaq respectively. Starkey, Stone Technology, and Robot Nine are listed on my country’s Science and Technology Innovation Board.
1 Huami Technology: Founded in 2013, Huami Technology is a cloud-based health service provider with the world's leading smart wearable technology. Huami Technology is also China's first intelligent hardware innovation company to enter the U.S. capital market. It was listed on the New York Stock Exchange (NYSE) in February 2018 (stock code: HMI).
2 Yunmi Technology: Yunmi was founded in 2014 and is headquartered in Foshan, Guangdong. The company is positioned as a whole-house Internet home appliance company focusing on the research and development, manufacturing and sales of smart home appliances, and is committed to providing security for families. , intelligent whole-house Internet appliance solutions. The main products include dishwashers, refrigerators, water purifiers, range hoods, washing machines, etc. On September 25, 2018, Yunmi was listed on NASDAQ in the United States with the stock code "VIOT".
3 Roborock Technology: Roborock Technology’s main business is the design, research and development, production and sales of intelligent hardware such as intelligent cleaning robots. Its main products are Xiaomi’s customized brands “Mijia Intelligent Sweeping Robot” and “Mi "Home Handheld Wireless Vacuum Cleaner", as well as its own brands "Stone Intelligent Sweeping Robot", "Stone Handheld Vacuum Cleaner" and "Xiaowa Intelligent Sweeping Robot". On February 21, 2020, Stone Technology (688169.SH) was officially listed on the Science and Technology Innovation Board.
4Nine Robot: Nine Robot Co., Ltd., registered in the Cayman Islands, mainly produces electric balance vehicles, electric scooters and other products. The company's products mainly include three categories: intelligent electric balancing vehicles, intelligent electric scooters, and intelligent service robots. On 2020-10-29, No.9 Robot became the first listed company in China with the CDR+VIE model, and was renamed No.9 Company after listing.