Lenovo Will Create Cheap Brand to Counter Xiaomi

Xiaomi is threatening Lenovo as the biggest smartphone manufacturer in China. Online selling and online marketing campaign that Xiaomi used, have been successful and their products were sold out all over the market. Including in Indonesia.

liaow.com

The plan is, Lenovo will build a new company with a new brand to counter Xiaomi's effort. The product itself will be officially launched at April 1st, 2015.

Lenovo is in the process of acquiring Motorola business from Google. Currently, the Chinese giant is ranked fourth in worldwide smartphone market in 2014.

I wonder what will happen to local brands?