All the keys to Xiaomi’s entry into the world of electric cars

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Xiaomi has presented a lot of new devices in Spain in the event that they have called a mega-launch. Although this event was planned for March 29, they have finally divided it into two days.

While yesterday the company focused on launches of more conventional devices, today they have sent a powerful message, first with the Mi MIX Fold and shortly after with the announcement of their next adventure, in which the company aspires to enter a market as established as that of cars.

Xiaomi goes for the electric car and Lei Jun himself will lead the new company

As we learned during the morning, Xiaomi announced its entry into the smart electric car market, aiming to compete against giants in the sector such as Tesla, as well as the rest of the car manufacturers that are in full transition towards the world of electric cars. It is not a path that they decide to take lightly, and in the face of such a firm bet it is possible that there are several doubts that Lei Jun the CEO of the company himself has clarified at today’s event.

All the keys to Xiaomi's entry into the world of electric cars 1Lei Jun (Xiaomi CEO) will personally lead the new company.

The first question is about Xiaomi’s ability to create an electric vehicle. According to the CEO, in recent years the company has secured an initial fund of 10 billion yuan (approximately 1.3 billion euros) for the creation of its first car, hoping to invest over the next decade 10 billion dollars (8.5 billion euros). ) to become a successful smart electric car company. This line of business will be an independent subsidiary of Xiaomi, so anyone can invest specifically in this new company.

This new company will be led by Lei Jun and he considers it the biggest entrepreneurial project of his life. It also details that to get the approval of the company, in the last 75 days Jun has attended 85 meetings with more than 200 industry experts, four internal management debates and two meetings of the board of directors. Of course, within Xiaomi decisions are not made lightly.

The six key pillars for entering the electric car market

Lei Jun took advantage of this day to write a letter to Xiaomi employees in which they highlight the strengths of the company in view of this new adventure. Specifically, the following stand out:

  1. Smart electric vehicles have transformed the business model of the traditional automotive sector, and Xiaomi has a deep understanding of the hardware-based Internet services business model.
  2. Xiaomi has extensive experience in software and hardware integration, and deep manufacturing knowledge within the internet industry.
  3. Xiaomi has the largest smart ecosystem, the most diversified in terms of product category, and the most active in terms of user connections.
  4. Xiaomi has numerous core technologies that can be applied to the smart electric vehicle business.
  5. Xiaomi has a powerful brand and a strong user base, trusted and supported by Mi Fans around the world.
  6. Xiaomi has abundant cash resources that allow you to invest with confidence.

After starting the start of this new subsidiary, it is still too early to know more details. One of the doubts that we most want to solve is whether Xiaomi smart cars will end up with Android Automotive as an integrated system or will they opt for a system designed from scratch by themselves.

The entry All the keys to Xiaomi’s entry into the world of electric cars appears first in The Free Android.