Expect Xiaomi-branded electric cars to launch soon.
As part of its major announcements last week, Xiaomi has officially entered the automotive business by announcing its new electric vehicle as reported by Reuters. In a filing, the Chinese company will initially invest around $1.52 billion for a wholly-owned subsidiary with a total goal of $10 billion over the next ten years. Current Xiaomi CEO Lei Jun will also act as the head of the electric vehicle business.
“The decision was made after numerous rounds of deliberation among all our Partners, and this will be the final major entrepreneurial project of my life. I am willing to put all my personal reputation on the line and fight for the future of our smart electric vehicle! I am determined to lead my team to fight for the success of the Xiaomi electric vehicle,” said Lei Jun in a press release.
Xiaomi also highlighted its advantages in making electric vehicles, citing that its current extensive software and hardware experience over the years can help build the best electric vehicle. Additionally, they touted its extensive smart ecosystem that not only includes its mobile devices but a plethora of appliances and home IoT devices that are now being enjoyed by customers.
“Smart electric vehicles represent one of the largest business opportunities in the next decade and represent an indispensable component of smart living. Entering this business is a natural choice for us as we expand our smart AIoT ecosystem and fulfill our mission of letting everyone in the world enjoy a better life through innovative technology,” concluded Lei Jun.