Chinese smartphone giant Xiaomi is likely to bite the bullet and keep its operations running in India despite mounting regulatory headwinds and recent rumors that it may pull out of the market, according to analysts, as sales soften in China, reports the South China Morning Post.
In the latest chapter of Xiaomi’s ongoing legal saga in the South Asian nation, the High Court of Karnataka in southwestern India earlier this month rejected the firm’s fresh appeal seeking interim relief from a court order to seize $676 million worth of its assets, a move that Xiaomi said had “effectively halted” its local operations.
India’s federal financial crime agency froze the assets in April, accusing Xiaomi of making illegal remittances under the disguise of royalty payments. The company denied any wrongdoing and said the payments, made to US tech firm Qualcomm, were legitimate.
