Today Xiaomi has confirmed in a statement something that has been rumored in recent days, the company plans to invest $10B in a new smart electric vehicle project over the next decade.
Xiaomi smart electric car is on the way
There were some rumors indicating that Xiaomi’s first electric car will be manufactured at a Great Wall Motor Company Limited (GWM) plant, located in Hong Kong. Now the Chinese company has given more details about its new project.
Lei Jun will head the $10B worth project
Lei Jun will head the subsidiary. This is not the first time the Chinese tech giant has entered the motor vehicles segment. A couple of years ago, the company signed an alliance with carmaker Bestune to create an SUV under the Redmi brand. That car, however, was a Bestune T77 SUV customized version with the MIUI operating system, which means it was not created from scratch.
Now, Xiaomi wants to go a step further by manufacturing its own smart electric vehicles. In a statement released before the event, the company has confirmed that the initial investment will reach $10B over the next ten years. The project will take the form of a subsidiary 100% dependent on the parent company with its own funds only, without external investors.
Say hello to #XiaomiSmartElectricVehicles.
— Xiaomi (@Xiaomi) March 30, 2021
Elon Musk might have changed the future of cars
During the event, Lei Jun, the current CEO of the company, has stated that he will take the lead of Xiaomi’s electric car subsidiary, a segment that has been attracting him since 2013 when he had a meeting with Elon Musk (CEO of Tesla). His goal is to manufacture quality electric cars and they hope to present their first model as soon as possible.