Xiaomi Launches YU7 SUV, 3nm Chip Challenging Tesla, Apple

Xiaomi is making a significant push to challenge Tesla and Apple in the electric vehicle (EV) and mobile processor markets, signaling a major shift in its business strategy. The company recently launched the YU7, a high-performance electric SUV with impressive range and acceleration, positioned as a direct competitor to Tesla's Model Y, illustrating why some analysts believe China may have already won the EV race. Alongside this, Xiaomi unveiled its Xring O1, a cutting-edge 3nm mobile processor claimed to rival Apple's A18 Pro chip in performance and efficiency, marking Xiaomi's broader ambitions in advanced chip development. Despite recent setbacks including a fatal crash involving its SU7 sedan that raised concerns about its self-driving technology, Xiaomi's CEO Lei Jun confirmed a substantial investment of $28 billion in R&D over five years and $7 billion over a decade in chip development, aiming to transform Xiaomi into a full-stack technology leader. Xiaomi also introduced MiMo, its own large language model, signaling its entry into the AI race beyond hardware innovation. These moves represent Xiaomi's ambitious effort to reinvent itself from a budget electronics manufacturer to a strategic tech powerhouse, with the next few years critical for proving its potential to investors and the market.