Xiaomi to comply with Chinese regulations to “optimize” ads on TVs

October 12, 2023 3:17 pm

Chinese tech giant Xiaomi has recently taken measures to optimize its advertisement display methods on its branded televisions in China as part of its adherence to local regulations.

Users in China, backed by some local consumer associations, had called on TV manufacturers to provide an option to remove advertising displays during startup. Some companies even lost lawsuits for failing to provide a button to close advertisements during the bootup.

Advertisements appearing as pop-ups on web pages are mandated by the Advertising Law of China and associated regulations to display a prominent close button, allowing users to dismiss the advertisement with a single click easily.

A customer service staff at Xiaomi's official store said users could submit the MAC address (unique identification for devices' network components) to apply for an "optimized" advertisement experience (in Chinese), according to Chinese media outlet ITHome.

As of the press time, Xiaomi has yet to respond to inquiries from PingWest regarding this development.

Xiaomi, which has recently undergone a leadership transition (in Chinese) coupled with structural changes, announced that Zhang Feng, who previously led the smart appliance division, would leave the company in December of this year, as reported by Chinese media outlet 36Kr.

In line with these changes, Xiaomi is set to extricate the television business from Feng’s department, transferring control to the smartphone division.

Xiaomi’s AIoT business displayed considerable growth, demonstrating an increase in the connectivity of IoT devices by 24.2% year-on-year, totaling 654.5 million as of June 30, 2023. This figure does not include smartphones, tablets, or laptops. Revenue from IoT and lifestyle products reached RMB 22.3 billion ($3.06 billion), experiencing growth of 12.3% compared to the previous year.

The surge in earnings can primarily be attributed to large smart home appliances, tablets, and specific lifestyle products, which somewhat counterbalance a decrease in revenue from smart TVs and laptops, according to its financial report.