Meitu’s hardware business is about to take a major change as the Chinese tech brand has granted exclusive global licenses of its smartphone and smart devices business to Xiaomi. Yes, you read that right! A decade-year-old brand, Meitu is popular for its selfie apps and the selfie-focused smartphone. It has gone into an exclusive licensing deal with Xiaomi, one of China’s largest tech brand.
Xiaomi bags a new brand under its ecosystem: it’s called Meitu
Xiaomi brings yet another brand under its ecosystem of brands, which has over the period allowed them to expand its business in new categories. But with Meitu, Xiaomi is getting into the selfie-focused smartphone business. The deal says that Xiaomi will be responsible for design, R&D and sales of the Meitu products under Meitu branding.
This is quite an interesting deal for the Meitu brand, which hasn’t seen an impressive growth in terms of sales and revenue on its smartphone and smart products business since inception in 2013. With Xiaomi getting involved, its product line up could make an appearance on its Mi Home line up which is expanding rapidly not just in China and India but has a presence in International markets as well. It was recently when Xiaomi opened its first Mi Home store in the UK after officially entering into the country.
Meitu has got its “perfect partner” in Xiaomi, which has a tremendous online as well as now an increasing offline presence in various regions in the world. Talking more on the deal specifics, Xiaomi will pay a percentage of phone profits to Meitu, which will be eventually moved to a flat per-phone licensing fee after five years. Or when a surplus amount of units sold. That number is not defined.
It would be interesting to see if any of Meitu’s new phones will make its way to India or not. Let’s wait and see how Xiaomi approaches on that front. In the meantime, what do you guys think of this partnership between Xiaomi and Meitu? Drop your feedback in the comments section below.