Funding puts value of China's Xiaomi at $4B

Funding puts value of China's Xiaomi at $4B

Summary: Chinese smartphone maker closes fundraising round effort that now values company at US$4 billion, reveals microblog post by local Internet player.

SHARE:

Xiaomi has received funding which now values the Chinese smartphone maker at US$4 billion, with its financial documents showing a net profit of 2.5 billion yuan (US$393 million).

According to a microblog post Sunday on Sohu Weibo, Qihoo 360 Chief Executive Zhou Hongyi said: "Believe it or not, Xiaomi is indeed valued at US$4 billion after its successful round of funding."

Citing Xiaomi's financial documents, Zhou added that Xiaomi had sold 3 million to 5 million handsets so far this year and each at a profit of 700 yuan to 800 yuan (US$110 to US$126). The startup also reported a net profit of 2.5 billion yuan (US$393 million), he added.

Reuters reported last week on a rumor that Xiaomi was in the final stages of its fundraising efforts. Russia's Digital Sky Technologies was reported to be a possible investor.

According to Xiaomi's Web site, its smartphone retails at 1,999 yuan (US$315) and is China's first smartphone to have a dual processor.

A report Thursday by local newspaper China Daily said Zhou and Xiaomi's founder Lei Jun had been bickering online with both criticizing each other on their micro blogs.

Topics: Smartphones, Hardware, Mobility

Liau Yun Qing

About Liau Yun Qing

The only journalist in the team without a Western name, Yun Qing hails from the mountainy Malaysian state, Sabah. She currently covers the hardware and networking beats, as well as everything else that falls into her lap, at ZDNet Asia. Her RSS feed includes tech news sites and most of the Cheezburger network. She is also a cheapskate masquerading as a group-buying addict.

Kick off your day with ZDNet's daily email newsletter. It's the freshest tech news and opinion, served hot. Get it.

Talkback

0 comments
Log in or register to start the discussion