Today I wanna open with this statement “It’s not inconceivable that some Chinese smartphone manufacturers copy the design of Apple.” They’ve done it before and to be honest, Apple is the pioneer in the smartphone industry and ever since 2007 every smartphone manufacturer copied Apple’s design in some way.
This year ‘Xiomi MI 8’ copied all the features of iPhone 10. The ‘MI 8’ has the same notch design with iPhone’s vertical camera design. Samsung suffers billions of dollars in loss due to its copyright infringement lawsuits. So, How does that work? How do companies like Xiomi getaway with such copying of Apple’s design:
1. No Competition
The first reason is that if you think about it Apple and Xiomi do not have a competing interest. This is very important, both companies are for-profit companies and if winning a lawsuit makes Apple a billion dollars more a year, of course, Apple will do it. Xiomi will not get away copying Apple.
However, the truth is Xiomi smartphones and iPhones have two sets of totally different audiences. For starters, the prices are very hugely different. The most premium XIomi phone sells for $450 and iPhone sells for a $1000. Obviously, Xiomi is on the low end and Apple is at the high end of smartphones in term of pricing. Due to this pricing difference, they are targeting two different types of audiences.
You may also like 5 Surprising Reasons Why Xiomi Phones Are So Cheap
2. Different Audiences
Xiomi’s audiences mostly are from China and India whereas Apple’s audiences are from mostly in America and Europe. This explains why ‘Xiomi MI 8’ is not even launched in America. You can’t find advertisement video for ‘MI8’ on YouTube and for someone living in the United States, you can’t even buy it if you want to.
Therefore the geographic location of their main audience is also different.
3. Marketing Strategy
Xiomi is competing against Oppo, Vivo, and Samsung in China and India in the budget smartphone space and Apple is completely absent in the budget smartphone range.
This two-year-old ‘iPhone 7’ starts at $550 while the brand new ‘Xiomi MI 8’ sells for $450. That’s why Apple doesn’t have a competitive relationship with Xiomi.
If you look into the lawsuits Apple had in the past years, it’s always against Samsung. This is because, in the real world market, Apple’s real competitors are Samsung Galaxies and Google Pixels
4. Apple is not Stupid
If it has anything to gain by waging a legal war against Xiomi, it would. Apple has been ignoring Xiomi blatant copying Xiomi of his design simply because there is nothing to gain by suing Xiomi. Think about it, if Apple were to sue Xiomi and Xiomi lose, This would effectively create a vacuum in the $100 to $500 smartphone market. Oppo, Vivo, and Samsung would be filling that gap. Making Samsung stronger and making life harder for Apple itself.
Both Apple and Xiomi knows this well.
5. Xiomi- China’s iPhone
Xiomi is a China-based company. In fact, it is one of the top smartphone companies in China. Xiomi is so famous that it is known as China’s iPhone. It increases the brand value of Apple. This is also the reason, why Apple does not sue Xiomi. Xiomi is increasing Apple’s Brand Value.
So, these were my top 5 reasons why Apple doesn’t sue Xiomi for copying its design. Apple knows that Xiomi is not a thread to him. It’s probably to leave Xiomi alone and allow it to compete against Samsung in low end market while Apple keeps dominating the $ 1000 high end market.