- Smartphone maker Xiaomi will begin delivering its first electric vehicle in China this month, joining fierce price competition in its home market.
- Chief executive Lei Jun said Xiaomi planned to become one of the world’s top five automakers in December last year.
- The car has shared operating system with Xiaomi’s popular phones and other electronic devices.
OUR TAKE
As a giant smartphone manufacturer, Xiaomi’s move to open up the EV market is bold and full of anticipation. What will a company that is already successful in one area do in an entirely new one? EV products linked with mobile phone services are refreshing, and the use experience is one that could certainly catch on.
— Tuna Tu, BTW Reporter
From mobile phones to car market
Xiaomi said on Tuesday it would start delivering its first electric vehicle in China this month, pushing into the world’s largest auto market amid aggressive price competition. The smartphone maker, China’s fifth-largest, said on Weibo that 59 of its stores in 29 cities across the country would take orders for the new Speed Ultra 7 sedan. At the launch of the SU7 in December, chief executive Lei Jun said Xiaomi planned to become one of the world’s top five automakers.
Also read: Xiaomi signals its global electric car ambitions with stunning SU7
Distinctive car focuses on smart technology
With demand for smartphones stagnating, Xiaomi has been seeking to diversify away from its core business into EVs – a plan it first outlined in 2021. “Compared to 14 years ago, when Xiaomi smartphones went from 0 to 1, Xiaomi Auto is in a very different stage of growth and faces very different user expectations,” Lei said in a Weibo post. “Xiaomi’s cars need to be different, and the most important aspect is smart technology.”
Also read: Apple quits its decade-long EVs development project
Plans for the development in EV industry
The smartphone giant, which has pledged to invest $10 billion in the auto industry over the next decade, is one of the few new companies in China’s electric vehicle market to gain authorities approval. Lei said the SUV has “super electric motor” technology capable of delivering faster acceleration than Tesla’s, and Porsche’s EVs. Analysts said the car, which shares an operating system with Xiaomi’s popular phones and other electronic devices, would appeal to the company’s existing customers.
