IDC: Xiaomi took over as smartphone leader in China

Chinese smartphone maker Xiaomi now controls 12.5 percent of its home market, ahead of Samsung's 12.1 percent share, according to the IDC research group. Xiaomi has seen smartphone sales increase 227 percent year-over-year, selling more than 61 million units in 2014.

However, Xiaomi continues to grow, while Samsung actually lost more than six percent in the competitive Chinese market - and analysts want to see how much higher Xiaomi can climb.

During Q4 of 2014, there were 107.5 million smartphones shipped to Chinese consumers, a 2 percent quarter-on-quarter growth, according to IDC.

Apple, Samsung, and other foreign manufacturers see China as an appealing market with a growing number of smartphone owners. Trying to compete against Xiaomi, which is packing hardware in more affordable product offerings, however, will prove to be extremely difficult.