
“I decided to found Smartisan not to earn a fortune, but to make friends,” Luo Yonghao, CEO of Smartisan Technology, explained when introducing Smartisan Smart Air Purifier at the press release of Jianguo Pro 2. The air purifier was widely interpreted as a sign Smartisan would expand its product line. Recently, it was reported that Smartisan was looking for third-party brands in an attempt to build the “Smartisan Craftsmen Alliance”.
For a discerning eye, it is quite obvious Luo is trying to follow the path of Lei Jun and build an ecosystem similar to that of Xiaomi, at least from the aspect of taking advantage of the brand popularity and marketing. Will Mr. Luo succeed in this “adventure”? What’s missing in Mr. Luo’s Smartisan, compared with Xiaomi?
It is known that smartphone business is the center of both Smartisan and Xiaomi. However, the positioning, performance and influence of their smartphone business determines that their ability to expand product line will be different. Although revenue from Xiaomi’s ecosystem has reached RMB 2 million in 2017, and some of Xiaomi ecosystem products have grabbed the first place in according markets, smartphone business remains the center of Xiaomi, as Mr. Lei recently claimed.

From the aspect of smartphone sales, while Smartisan sold 2 to 5 million smartphones in 2017, Xiaomi’s smartphone shipment reached 92.4 million for the past year, according to IDC. In other words, there’s huge gap between Xiaomi and Smartisan in terms of smartphone sales.
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