Last updated on December 8th, 2022 at 03:12 pm
Xiaomi is preparing to introduce its own processors for smartphones and electric vehicles
Foxconn isn’t the only smartphone maker looking to try its hand at making electric vehicles. Except for Apple and Huawei, Xiaomi is demonstrating the corresponding ambitions. According to knowledgeable sources, the first electric vehicles of this brand will begin production in 2023 with the support of the auto giant Great Wall.
The information was disseminated by Reuters, citing negotiations between two Chinese companies. The Great Wall, which produced more than a million vehicles in the past year, will help Xiaomi produce and develop electric vehicles. Currently, the Chinese auto giant already has the Ora brand for its own electric vehicles and is building a new facility for contract manufacturing of BMW electric vehicles. Xiaomi and Great Wall will announce a collaboration next week, the source hopes. The actual production of Xiaomi electric vehicles will begin no earlier than 2023.
Alliances like this will proliferate. For example, Baidu is collaborating on developing electric and always-on vehicles with the Chinese company Geely. According to Reuters, the initiative to enter the EV market comes from Xiaomi founder Lei Jun himself. The smartphone segment has not only stopped growing but is offering very low-profit margins. Against these rumors, the price of Xiaomi shares rose by 6.71%, while Great Wall shares rose by 7-8%.
Along the way, Reuters reported that Xiaomi would unveil its first in-house developed smartphone processor on March 29th. Information about this was published on the pages of the social network Weibo by representatives of the company. According to the source, Xiaomi and Great Wall employees declined to comment on rumors about the possibility of cooperation in electric vehicles’ production.