Chinese tech titan Xiaomi is poised to enter the electric vehicle (EV) market with the imminent delivery of its inaugural EV model, Speed Ultra 7 (SU7), later this month. This marks Xiaomi’s ambitious debut in the fiercely competitive automotive landscape.
The price of the car is scheduled to be revealed on March 28th, as Xiaomi gears up to introduce its latest innovation to consumers. With 59 stores across 29 cities in China, Xiaomi aims to facilitate widespread accessibility for potential buyers.
The move comes amid escalating competition among industry giants like BYD and Tesla in China, the world’s largest automotive market. Xiaomi’s CEO, Lei Jun, outlined the company’s aspiration to secure a spot among the top five global car manufacturers at the unveiling of the Speed Ultra 7 (SU7) last year.
Backing its commitment to the automotive sector, Xiaomi has announced a staggering $10 billion investment over the next decade. Lei Jun lauded the SU7’s “super electric motor” technology, boasting acceleration capabilities surpassing some Tesla and Porsche EVs.
Xiaomi is banking on the integration of its car’s operating system with its existing ecosystem of smartphones and devices to appeal to its vast customer base. Amidst regulatory efforts to streamline the influx of new players in China’s electric car market, Xiaomi has secured approval for its entry.
Manufactured by a unit of state-owned carmaker BAIC Group at a Beijing plant with an annual capacity of up to 200,000 vehicles, the Speed Ultra 7 underscores Xiaomi’s commitment to scale production swiftly.
The launch of Xiaomi Automobile coincides with heightened competition in China’s EV sector, evidenced by Tesla’s recent price cuts and BYD’s aggressive pricing strategies. Xiaomi’s announcement has prompted a positive market reaction, with shares rising over 10% in Hong Kong after the news.
ELCTRIK Speaks
Xiaomi’s entry into the electric vehicle market with the Speed Ultra 7 is exciting, especially given their strong presence in consumer electronics. Their $10 billion investment and integration with existing devices show a serious commitment to innovation. The “super electric motor” technology could attract performance-focused drivers. Positive market reactions indicate growing investor confidence. It will be interesting to see how Xiaomi navigates this competitive landscape, marking a significant expansion beyond smartphones and smart home devices.
