Apple and Samsung Sue Xiaomi for Disparaging Advertisements in India

Apple and Samsung have issued legal notices to Xiaomi for making disparaging comparisons between their phones and Xiaomi's in advertisements in India. The move is aimed at protecting their brand value, as Xiaomi seeks to gain a foothold in the premium smartphone market. Experts term Xiaomi's advertising as "ambush marketing," which can hurt brand value. Xiaomi's advertisements directly targeted Apple's iPhone 16 Pro Max and Samsung's models, prompting cease-and-desist notices from the two companies.

In a move to protect their brand value, Apple and Samsung have issued legal notices to Xiaomi for making disparaging comparisons between their phones and Xiaomi's in advertisements in India. The action is aimed at safeguarding their market dominance in the competitive premium smartphone market. Xiaomi's advertisements directly targeted Apple's iPhone 16 Pro Max and Samsung's models, prompting cease-and-desist notices from the two companies [1].

The legal notices are a reflection of intense competition for customer share in the world's second-largest smartphone market. Xiaomi, known for its affordable devices, has been seeking to gain a foothold in the premium segment. Experts term Xiaomi's advertising as "ambush marketing," which can hurt brand value by disparaging competitors [1].

Apple and Samsung, with a dominant 95% share of the Indian premium smartphone market, are protecting their brand value through legal action. The move is aimed at stopping Xiaomi's comparative advertisements that question the superiority of Apple and Samsung's products [1].

Xiaomi's advertisements, released in March and April, directly compared the pricing and specifications of the iPhone 16 Pro Max with Xiaomi's 15 Ultra model, questioning the iPhone's value. Similarly, Xiaomi targeted Samsung models on social media. Both Apple and Samsung served cease-and-desist notices to Xiaomi following these advertisements [1].

This legal action highlights the growing sensitivity of companies towards brand value. "Today companies are getting more sensitive towards such advertising," said Harish Bijoor, a business and brand-strategy specialist. "The brand value that each of the brand commands is significant as Apple and Samsung are big players" [1].

Apple and Samsung's legal action underscores the intense competition in the Indian smartphone market. Despite US President Donald Trump's opposition, Apple has assured the Indian government it will not pause its expansion plans. Apple is investing $2.5 billion to scale up iPhone production from 40 million to 60 million units annually and expanding its retail footprint with new stores in Bengaluru and Pune [2].

References:
[1] https://economictimes.indiatimes.com/industry/cons-products/electronics/apple-and-samsung-make-legal-call-against-xiaomi/articleshow/123550194.cms
[2] https://www.timesnownews.com/business-economy/industry/apple-defies-trump-pressure-doubles-down-on-india-iphone-expansion-with-2-5-billion-push-article-152526404