Xiaomi’s India operations are undergoing a carefully orchestrated shift with the upcoming departure of its president, Muralikrishnan B, at the end of 2024, the company revealed in an exclusive interview with BW Businessworld with its India management team. Recognised for leading Xiaomi’s recovery after losing market share in India due to regulatory challenges and shifting consumer sentiments, Muralikrishnan was one of the few senior hires by former MD Manu Kumar Jain, who originally recruited him from Jabong.com. Since then, Muralikrishnan’s journey within Xiaomi has been one of dedication and resilience. Reflecting on his years with the company, he described his tenure as a "fairy tale" journey filled with “comedy, tragedy,” and noted, “All right, these are things that you prepare a lifetime for.”
Muralikrishnan has been pursuing a PhD at the Indian School of Business since 2022, balancing his studies with his corporate responsibilities. As he shared, “The pursuit of knowledge and… knowing that humanity’s knowledge bounties just a little bit more… it was always appealing.” His departure is largely motivated by academic goals, as he explained, “It came to a stage where… I have to dedicate a lot of time and attention to completing [my doctorate]… bridging this gap between the world of business… and the academic world.”
Xiaomi anticipated this transition by bringing in Sudhin Mathur in August 2024, an industry veteran with leadership stints at Lenovo, LG, and Sony Ericsson, where he developed their mobile strategies in India. Mathur’s appointment as Chief Operating Officer is designed to ensure continuity and bring a fresh perspective to Xiaomi’s India operations. Speaking on the transition, Mathur expressed admiration for Xiaomi’s agility, saying, “The speed of decision-making happens very, very quickly, which is very, very good.” Reuniting with Anuj Sharma, Xiaomi’s Chief Marketing Officer and a former Lenovo colleague, Mathur emphasised the company’s team-based culture, explaining, “Titles are just distinct cards we share with people… but collectively, as a think tank, we work and run the organisation.”
As Xiaomi India undergoes this leadership shift, the company is doubling down on an ambitious product strategy to cement its market position across segments. Known for his role in navigating Xiaomi India through regulatory and consumer trust challenges, Muralikrishnan will step back from his operational duties by 31 December 2024, transitioning to a strategic advisor role. Reflecting on his tenure, he said, "Having spent time with a company through its ups and more importantly some of the most challenging times makes it a part of your own life… to whatever extent I can support the growth of this company, I look forward to it.”
As a strategic advisor, Muralikrishnan will offer insights on Xiaomi’s product positioning, go-to-market strategies, and customer-centric operations, leveraging his understanding of the Indian consumer landscape to guide the company's ongoing projects. "This is not a simple departure but a step towards ensuring Xiaomi continues to make a strong impact," he stated.
The Redmi A4: Affordable 5G Innovation for India In November 2024
Central to Xiaomi's strategy in India is the upcoming launch of the Redmi A4, expected to be a game-changer in the entry-level 5G segment. Scheduled to debut in November, the Redmi A4 will feature the Qualcomm Snapdragon 4S Gen 2 chipset, which was designed specifically for the Indian market to balance performance and affordability. The chipset’s "Designed-in-India" tag aligns with Xiaomi’s commitment to local manufacturing and resonates with the company’s Indian-first approach. Xiaomi showcased the Redmi A4 at the India Mobile Congress (IMC) in October, where it received positive feedback from attendees eager for a cost-effective 5G option. Anuj Sharma, Xiaomi’s CMO, highlighted its significance, saying, "We are fairly close to actually getting this into the market… the Snapdragon 4S Gen 2 enables us to provide 5G at an accessible price point, a milestone for us and for Indian consumers."
Accelerated Product Cycles: The Redmi Note Series Returns in December
Adding to its festive season momentum, Xiaomi plans to launch the successor to the Redmi Note 13 series in December 2024. This marks an accelerated release cycle that hasn’t been seen since before COVID, when Xiaomi would introduce two generations of the Redmi Note series within a single year. Sharma explained the strategic shift, stating, “After 2022, we slowed down to an annual cycle… now, with improved efficiency and manufacturing alignment, we’re ready to return to a dual-launch approach.” The Redmi Note 13 series, which debuted earlier this year, has already established itself as a popular choice among mid-range buyers, and the December release is expected to attract consumers looking for the latest features at competitive prices. By capitalising on the Redmi Note's well-established brand equity, Xiaomi aims to reassert its dominance in the high-volume mid-range segment.
Diwali Sales Success: Smartphones, 4K TVs, and Wearables See Strong Demand
The festive season has been an essential period for Xiaomi’s India business, and Muralikrishnan had a hands-on role in shaping this year’s approach. “Diwali was as per plan, so I wouldn’t say there were any surprises either way,” he shared, adding that careful planning allowed the company to meet demand effectively. The decision to front-load inventory, a tactic Muralikrishnan helped design, reduced the pressure to drive massive volumes in Q3 and Q4, enabling a smoother, more efficient supply chain. "It’s a good balance… we can rely on our BAU [business-as-usual] sales to be more P&L efficient than festive sales, which translates to good news from a profitability and efficiency perspective,” he said. Sharma elaborated that the strategy allowed Xiaomi to capitalise on an uptick in demand for 5G phones, with a strong preference from consumers for mid-range options.
Xiaomi's Expanding TV Business Sees High Demand for Larger Screens
While smartphones continue to drive the majority of Xiaomi’s revenue, the company’s expanding TV business has also been a key growth area. Xiaomi’s affordable 4K TV models performed strongly during the Diwali period, capitalising on a shift in consumer preferences towards larger screen sizes. “In 2018-19, it used to be 32-inch TVs that ruled,” Sharma noted, “but now people are moving up… there’s been a lot of uptake for 43-inch 4K TVs, which we offer with great picture quality.” According to Sharma, the sales surge in larger screen sizes aligns with a broader trend in India where consumers are seeking richer, more immersive entertainment experiences at home. Xiaomi’s strategy to offer high-quality displays at affordable prices has helped it establish a strong foothold in this space. Furthermore, Xiaomi’s efforts in the wearables segment have begun to show results, with recent iterations of the Redmi Watch and Mi Smart Band gaining traction, particularly during the offline shopping rush of Dhanteras.
A Strong Leadership Foundation Left Behind
Caption: From Left To Right: Sudhin Mathur, Varun Madan, Muralikrishnan B, Anuj Sharma, Sameer BS Rao
Sudhin Mathur, who joined Xiaomi in August as Chief Operating Officer, brings an extensive background in India’s consumer tech industry from previous roles at Lenovo, LG, and Sony Ericsson. His role will involve overseeing business and operations functions, streamlining processes, and helping Xiaomi adapt swiftly to changing market dynamics. Mathur spoke enthusiastically about Xiaomi’s working culture, highlighting the brand’s agility and autonomy: Mathur also praised Xiaomi’s team composition, noting that it fosters a balance of seasoned experience and fresh, experimental energy. “There’s a good balance of grey hairs… it’s a vibrant, go-getting atmosphere,” he said with a laugh. Muralikrishnan also sees Xiaomi’s talent and culture as critical components of its success. “The people, especially at the middle and senior management level, are the underappreciated secret sauce of Xiaomi’s success in India,” he explained. Xiaomi’s leadership team, comprising many who were hired during Manu Kumar Jain’s tenure, has grown with the company, embodying its mission and values. The average age of Xiaomi’s employees in India is 31, and Varun Madan, the newly appointed Chief People Officer, shared that the company has invested heavily in employee development programs, such as Xiaomi Summit and Xiaomi Launchpad. “This investment in capability building is what’s enabling us to develop homegrown leaders,” Madan stated.
Xiaomi’s Vision for the Next Decade: Premiumisation and Ecosystem Connectivity
Looking forward, Xiaomi’s vision for the next decade, crafted with Muralikrishnan’s input, is firmly focused on premiumisation, ecosystem connectivity, and innovation. Globally, the company launched the Xiaomi 15 series in China with Qualcomm’s Snapdragon 8 Elite chipset, and while these models won’t reach India until March 2025, their eventual release will be part of Xiaomi’s strategy to capture more of the premium market in India. Sharma indicated that Xiaomi’s partnership with Leica to enhance camera quality is central to its premium ambitions, saying, “The Xiaomi Leica Optical Institute will start delivering soon, ensuring we meet the expectations of high-end consumers.”
Muralikrishnan shared optimism about Xiaomi’s trajectory in India, affirming, “The key elements that can make for a successful business looking ahead into the next 10 years are definitely there.” With Mathur and Sharma leading Xiaomi’s India team, and Muralikrishnan supporting in a strategic capacity, Xiaomi India aims to further solidify its market position and continue delivering value across entry, mid-range, and premium segments.
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