Xiaomi is making an entry into China's competitive EV market
Xiaomi is betting it all on its $8 billion stock rally as it unveils its first electric vehicle in the highly competitive Chinese EV market.
Chinese smartphone giant Xiaomi has decided to put its stock rally worth $8 billion on the line as it plans to unveil its first electric vehicle today in a highly competitive EV market.
It will begin by selling its SU7 series, which has been predicted to go for 200,000 to 250,000 yuan in China's EV market, currently dominated by Tesla Inc. and BYD Co. According to pricing predictions by analysts, it will venture into the most competitive segment of the market.
Xiaomi's co-founder, Lei Jun, believes this to be a major endeavour and wants to test Xiaomi's ability to handle a saturated market for the second time, given its technological capabilities.
He further expects Xiaomi to make profitable returns in its initial phase during early volume shipments. Should Xiaomi succeed in the EV market, it would join Huawei Technologies Co., which achieved the feat earlier.
