Chinese smartphone king Xiaomi is planning to expand their hands on electric car business. They company is planning to invest $10 billion over the next 10 years in their new enterprise. The CEO of this division will remain be Lei Jun, the current Chief Executive of Xiaomi.
The compilation will be completely owned subsidiary. They will be investing 10 billion yuan ($1.52 billion) in total initially.
“Xiaomi hopes to offer quality smart electric vehicles to let everyone in the world enjoy smart living anytime, anywhere,” the company said in a statement.
Xiaomi, the Chinese technology firm and also the world’s third largest smartphone manufacturer is all set to dive into a competitive expedition in China.
Xiaomi is about to compete with the prevailing automakers of China, such as, Warren Buffet-backed BYD and Geely. New endowments like Nio and Xpeng Motors are also in the race.
Due to strong policy support from Beijing, inclusive of subsidies, electric vehicles have taken wing in the country. Despite a reduction of few measures, by 2021, 1.9 million electric vehicles will be sold in China, illustrating year-on-year growth of 51%, forecasted by Canalys, a research firm.