Xiaomi has completed a $1.1 billion funding round that values the Chinese smartphone startup at $45 billion, the company announced on Monday. Xiaomi’s valuation and raise matches reports from earlier this year, when Xiaomi said it plans to spend the funds on internet TV and international growth.
It’s a large valuation for a young company. Xiaomi was founded in 2010, and has made its name selling Android smartphones directly to consumers in China (and now India) online. [company]Xiaomi[/company] sells a full line of electronics in China, including televisions, tablets, smart home products, and fitness bands.
Xiaomi also teased that it plans to “unveil its next flagship device” in January 2015.
The $45 billion valuation is predicated on Xiaomi’s impressive growth — the company made 26.6 billion yuan ($4.4 billion) in revenue in 2013, its third year as a company, and is projected to more than double its revenue in 2014. By some calculations, despite only selling devices in a few countries, Xiaomi is the world’s third largest smartphone maker measured by number of devices shipped.
Xiaomi has thin profit margins despite its big revenue numbers. A regulatory filing earlier this month revealed that Xiaomi recorded 345.7 million yuan ($56 million) in net profit in 2013.