Xiaomi unveils the future, with an electric SUV

Xiaomi unveils the future with an electric SUV offering 835 km of range, priced at under $35K USD.

The YU7 max offers a top speed of 253 km/h, and 690 hp with a 0 to 100 acceleration speed of 3.23 seconds.

Interestingly, the market cap of Xiaomi is now over USD $187 Billion, a 64% increase in 2025. TechinAsia notes that the approach of Xiaomi to leverage their highly successful consumer electronics business to fund the $10 Billion CAPEX investment in EV development has "resonated" with investors.

You can see that the market values Xiaomi in a different way than an automotive company, with share prices 3X of where they were just a year ago. The company is successfully transforming into a mobility firm.

What Xiaomi does differently:

1. They focus on digital ecosystem integration, creating a greater platform for their customers.

2. The company is leveraging their established wide scale distribution network, customer data, and brand recognition across their entire ecosystem.

3. The price point and model offering directly attacks the Tesla Model Y.

Xiaomi has a target to deliver 350000 vehicles in 2025, more than double of 2024, and are demonstrating their capabilities of rapid scaling. In the June 26th presentation, the CEO forecast the EV Division will be profitable in the second half of this year. The (Haidan District) Beijing based company has released plans to invest the equivalent of USD $28 Billion in R&D between 2026 and 2030, focusing on AI, smart manufacturing, and growing their EV businesses.

Outside of China, Xiaomi for example will open their first retail store in South Korea on June 28th.

Would you consider buying this vehicle? Why or Why Not?

How do you think traditional automotive manufacturers can most effectively respond to digital ecosystem players including Xiaomi?

Strategy is Mastery.