Akmal Azhar
Once dismissed as a mere “Lego assembler,” Xiaomi has transformed into a serious technology manufacturer. Its EV factory in Beijing, with Tesla-style automation, has become a symbol of its shift from outsourcing to vertically integrated production.
Ambitious Investments in Core Technologies
Founder Lei Jun has spearheaded a strategy to move away from reliance on third-party suppliers. The company now produces high-end smartphones in-house and has developed its own 3 nm “Xring O1” chip. To cement this transition, Xiaomi has committed at least RMB 50 billion for chip research and an additional RMB 200 billion for advanced technologies over the next five years.
Boost from China’s Industrial Push
The company’s strategy aligns with Beijing’s national goal of strengthening domestic industrial capabilities. Xiaomi’s shares have surged nearly 200 percent over the past year, driven by optimism that proprietary chipmaking will provide a decisive edge in future competition.
Expansion into Electric Vehicles
Xiaomi has also entered the EV market with bold ambitions. Its newly launched SU7 sports sedan and YU7 SUV have already drawn overwhelming pre-order demand, positioning the company as a potential rival to Tesla and Apple in the race for smart mobility dominance.
Yusri Ng
