Xiaomi has now officially confirmed that it’s entering the electric cars business. The company registered ‘Xiaomi Automobile’, or in full name, ‘Xiaomi Automobile Co. Ltd.’, a new sub-brand of the company.
This new section of the Xiaomi Group has been registered with a capital of 10 billion yuan. Xiaomi’s founder, chairman, and CEO, Lei Jun, will be at the helm of this new entity.
‘Xiaomi Automobile’ registered with 300 employees
Now, Xiaomi did confirm, five months ago, that it will enter the smart cars sector. This kind of makes things official. The company actually built a team of 300 employees for its business, from more than 20,000 applications. The company is not done hiring, though.
Xiaomi has been looking for a partner for this endeavor, a partner from the car manufacturing sector. It hasn’t been successful in that feat, but reports surfaced it may acquire a stake in China Evergrande’s Electric Vehicle unit.
Lei Jun actually visited a lot of car manufacturing companies over the last couple of months. It went to BYD, SAIC, Wuling, and so on. It seems like none of those visits resulted in a partnership between companies, at least nothing has been announced.
Xiaomi’s electric scooters are well-known all over the globe
As most of you know, Xiaomi has been releasing various smart gadgets for over 10 years. The company also makes electric vehicles already. Their electric scooters are well-known around the world, but the company is aiming to expand its horizons.
Needless to say, making an electric car is a whole different story. It’s much more complicated than making an electric scooter. Still, it will be interesting to see what will Xiaomi come up with, of course.
What will be even more interesting, is the price of such a vehicle. Xiaomi is well-known for offering its gadgets at affordable price tags, which is a core part of its business model. So, it will be interesting to see how much will the company’s electric car cost. We’re still far away from one such vehicle being available, though, so… let’s see how will things evolve from this point on.