Xiaomi’s Bold Move: Entering the Electric Cars Market
Xiaomi, a major Chinese electronics company, announces its venture into the electric cars market with a significant investment.
Xiaomi, the Chinese electronics giant valued at over RMB 100 billion, has declared its entry into the electric cars market on March 30th. In an official statement, Xiaomi revealed plans to establish a wholly-owned subsidiary dedicated to the smart electric vehicle business. The initial investment phase is set at RMB 10 billion, with an estimated total investment of USD 10 billion over the next decade. Lei Jun, CEO of Xiaomi Group, will also assume the role of CEO for the smart electric vehicle business. Earlier today, Lei announced on personal social media platforms that further details about car production will be disclosed at tonight’s Xiaomi Spring product launch event. According to Bloomberg reports, Xiaomi will delegate car assembly to contract manufacturers.