PhonePe's Indus Appstore Collaborates with Xiaomi India to Strengthen Its Indigenous Google Play Alternative

PhonePe-owned Indus Appstore has entered into a multi-year partnership with Xiaomi India to pre-install its mobile app marketplace on Xiaomi devices sold in the country. This move is expected to drive significant adoption of the indigenous Android app store, offering users an alternative to the Google Play Store.

Key Highlights of the Partnership

• Xiaomi will replace its app marketplace, GetApps, with Indus Appstore on existing and new devices.

• The partnership is aligned with India's digital expansion and the push for locally developed technology solutions.

• The agreement follows a previous report by Moneycontrol in November 2024, which had hinted at this collaboration.

• PhonePe is preparing for its market debut, and this partnership serves as a strategic move to strengthen its ecosystem.

Strategic Significance

Indus Appstore's Chief Business Officer, Priya M Narasimhan, emphasized that this partnership is a major milestone toward building a horizontal app store for Indian mobile users and developers. She stated, "By combining Xiaomi India's reach with our localized app discovery platform, we're creating opportunities for developers while delivering a seamless, culturally relevant experience to users."

Xiaomi India’s Chief Operating Officer, Sudhin Mathur, echoed similar sentiments, stating, "As India’s digital ecosystem continues to grow, the need for a locally driven app marketplace has never been more critical. This partnership with Indus Appstore is a strategic step in that direction." Mathur further added that the collaboration aims to provide users with a seamless app discovery experience while empowering Indian developers to reach a wider audience.

Boosting Adoption Through OEM Partnerships

Indus Appstore has been working on partnerships with original equipment manufacturers (OEMs) like Nokia and Lava to integrate the app store into their devices. However, until now, users had to manually install the app store via the Indus website, making the process somewhat cumbersome. With Xiaomi’s extensive market reach, Indus Appstore will now be pre-installed on a significant number of smartphones, ensuring better accessibility and higher adoption rates.

Features and Advantages of Indus Appstore

Indus Appstore, which launched in February 2024, differentiates itself from competitors like Google Play Store and Apple App Store in several ways:

• Zero Commission on In-App Purchases: Unlike Google Play Store and Apple App Store, which charge developers a commission of 15-30%, Indus Appstore allows developers to retain 100% of their in-app revenue.

• Multilingual App Listings: The app store supports app listings in 12 Indian languages in addition to English, ensuring accessibility for users from diverse linguistic backgrounds.

• Rich Media Support: Developers can upload media and videos in different languages to enhance their app visibility and engagement.

• Advanced Features: The latest version of Indus Appstore offers an improved user interface, video-led app discovery, and voice-enabled search for better navigation.

• Web Marketplace with QR Code Access: The introduction of a web-based marketplace allows users to browse app listings and scan QR codes for direct downloads, reducing friction in the app installation process.

Xiaomi’s Market Position and Growth Prospects

Xiaomi has been a key player in India’s smartphone market since its entry in 2014. Over the years, the company has shipped over 250 million smartphones and another 100 million smart devices. Looking ahead, Xiaomi aims to double its shipments to 700 million over the next decade.

However, recent trends indicate a shift in Xiaomi’s market dominance. According to IDC’s latest monthly data, Xiaomi dropped to the seventh position in India’s smartphone market rankings as of January 2025. The partnership with Indus Appstore could be a strategic move to differentiate its offerings and regain market traction.

Future Outlook

The collaboration between Indus Appstore and Xiaomi India is expected to have a lasting impact on India's digital ecosystem. By providing an alternative to the Google Play Store, the partnership aligns with the country’s goal of fostering indigenous technological solutions.

Moreover, as PhonePe gears up for its market debut, the success of Indus Appstore’s adoption through Xiaomi devices could play a crucial role in determining its market positioning. For Xiaomi, integrating Indus Appstore adds value to its ecosystem and may help the company reestablish itself in India’s competitive smartphone market.

Conclusion

The strategic alliance between Indus Appstore and Xiaomi India marks a significant step toward creating a self-reliant and culturally relevant digital marketplace. With unique features, developer-friendly policies, and a growing network of OEM collaborations, Indus Appstore is well-positioned to challenge the dominance of global app stores in India.