Xiaomi definitely isn't making much profit on all those extra phones, though. Its sales "merely" jumped 135 percent in 2014, to 74.3 billion yuan ($11.97 billion). While that's huge for a business that hasn't even celebrated its fifth birthday, the data shows that the company is leaning on razor-thin profit margins and low-priced devices (such as the Redmi 1S and Redmi Note) to pull ahead. It's no wonder that Samsung is hurting lately, especially in China -- Xiaomi is willing to sacrifice a lot to achieve market domination.
As if to underscore the point, Xiaomi has already unveiled its first phone of the year, the Redmi 2. The 4.7-inch Android handset delivers a 64-bit capable (if low-end) Snapdragon 410 chip, an 8-megapixel rear camera, a 2-megapixel front shooter and dual-SIM LTE data for just 699 yuan, or $112. That's a lot of phone for the money, folks. It goes on sale in China on January 9th, and there's a good chance that it'll be popular both in its homeland as well as Xiaomi's other big markets, like India. You aren't at all likely to see the Redmi 2 officially reach Western nations like the UK or US, but it probably won't have to in order to become a rousing success.