Not content with being one of the main players in the smartphone and connected objects market, Xiaomi also aims to become a player in the electric vehicle market.

In 2021, the company formalized its new subsidiary specializing in electric vehicles, and supervised directly by the CEO, Lei Jun. To form this new activity, Xiaomi intends to invest 10 billion dollars over 10 years. And currently, the objective is to market the first vehicles in 2024.

Xiaomi may not obtain the necessary license to launch the production of electric vehicles in China

Unfortunately, entering a new market like electric vehicles is not easy. While Xiaomi seemed to want to manufacture its electric vehicles itself, today it would be forced to find a partner.

Indeed, according to an article published recently by Bloomberg, the manufacturer would have difficulty obtaining the license which would allow it to manufacture electric cars in China. According to the explanations of the American media, after many Chinese companies rushed into the electric vehicle market, Beijing decided to intensify surveillance of this sector, which makes obtaining a license more difficult. Moreover, the government’s policy aims precisely to encourage mergers and acquisitions.

Xiaomi would like to collaborate with the car manufacturer BAIC

Bloomberg sources explain that currently, Xiaomi is in negotiations with a Chinese car manufacturer: BAIC or Beijing Automotive Group.

It already has a license and a partnership between the two parties would allow Xiaomi to ensure that its first electric vehicles will be on the road from 2024, as promised by the manufacturer’s CEO, Lei Jun. However, if Xiaomi does not obtain a license to manufacture its vehicles alone, then these would be BAIC and Xiaomi co-branded products.

Bloomberg’s sources also indicate that Xiaomi would consider entering the capital of the Hyundai No. 2 Beijing plant, a joint venture between BAIC and Hyundai launched in 2008. This would have all the necessary authorizations for the production of vehicles. electricity, but it would experience financial difficulties.

In any case, it should be noted that Xiaomi is not the only smartphone giant to be interested in electric vehicles. Like Xiaomi, Apple is also preparing to enter this market.

Xiaomi, Apple and Google, soon to compete in the automobile industry?

We have known for years that the Cupertino company has a team specializing in automobiles. But at the moment, we don’t know when the first Apple car will be released. According to unofficial sources, it could be released in 2025.

Moreover, the Apple car would not only be electric. It would also be autonomous, since the firm would develop the necessary technologies (including the processor) to offer this type of vehicle.

Among the most advanced companies in terms of autonomous vehicles, there is Waymo, a subsidiary of Alphabet, which is the parent company of Google.