Chinese wearables maker Huami recently launched its latest product — the Amazfit smartwatch. Anhui Huami Information Technology Co. Ltd. launched its new connected wearable device in late August.
Huami, which is headquartered in the eastern Chinese city of Hefei, is better known as the maker of the Xiaomi fitness tracking wrist band which has sold more than 20 million units.
“The Xiaomi band reminds us of the success and glory we have achieved, while the smartwatch represents our ambitions for the future,” said Huang Wang, Huami chief executive officer.
Huami was established in early 2014 and financed by Shunwei Capital Partners and Xiaomi Corp, one of China’s leading electronics and smartphone makers. By August Huami had rolled out the Xiaomi wrist band on the market.
Since then, Morningside Ventures, Banyan Capital and Sequoia Capital invested another $35 million in Huami. And as the company’s valuation hits $800 million, is now preparing for a third round of funding, according to Huang.
Huami takes global second place
The company was ranked as second in the global wearables market, after U.S. rival Fitbit. As well, Forbes named Huami one of China’s 50 fastest growing technology firms in late 2015.
The company’s total sales revenue in 2015 was $151.5 million with 2016 projections expected to grow to $225 million.
According to a report on second-quarter wearable sales, Fitbit retained the top spot in the wearables market. It sold 5.7 million fitness trackers in Q2, a 28% year-on-year (YOY) growth. Xiaomi also retained its second place, but only had 2.5% growth YOY.
“Basic wearables, which include most fitness trackers, have benefited from a combination of factors: a clear value proposition for end-users, an abundant selection of devices from multiple vendors, and affordable price points,” said IDC’s Ramon Llamas.