Xiaomi Corp, a smartphone maker from China, has officially entered the electric-based automotive (electric car) industry. The company will produce a smart electric vehicle (EV).
Launching the Bangkok Post, at an early stage Xiaomi will invest US $ 1.52 billion placed in its subsidiary. The total investment target for the next 10 years is estimated at US $ 10 billion.
Xiaomi CEO Lei Jun will also serve as CEO of the smart electric vehicle business unit. The company’s move into the EV industry follows similar steps taken by other tech giants, both in China and abroad.
Several Companies Also Join into EV
In January, Chinese search engine giant Baidu Inc announced it would develop an EV unit. It’s through a partnership with domestic automaker Geely Automobile Holdings Ltd.
In February, Reuters also reported that Chinese smartphone giant Huawei Technologies Co Ltd is currently in talks with state-owned automaker Changan Automobile and other companies to produce EVs. Apple Inc. has also long been planning to enter the EV market.
Last week Reuters reported exclusively that Xiaomi was in talks to partner with Chinese automaker Great Wall Motor Co in the creation of EVs.
Xiaomi declined to comment on the reports, while Great Wall said in an exchange submission that they had not discussed such a partnership with Xiaomi.
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