Xiaomi EV, Xiaomi's electric vehicle arm, has completed its business registration with a registered capital of RMB10 billion.
Xiaomi EV Inc., Xiaomi Corp.’s electric vehicle (EV) arm, has completed its business registration with a registered capital of RMB10 billion. Lei Jun, Founder, Chairman and CEO of Xiaomi, is the legal representative of Xiaomi EV. This marks a key milestone of the much anticipated smart EV initiative, which has officially entered a substantial development phase.
Ever since Xiaomi announced its plan to launch the EV business, the company has become the hope to revitalize the automotive industry and a representative to innovate its potential development. On July 28, Lei recruited talents for Autonomous Department on Weibo. During the 2021 Q2 earnings call on August 25, Wang Xiang, Partner and President of Xiaomi, expressed that he felt the immense love from the automotive industry for Xiaomi as the company has received over 20,000 resumes. The Xiaomi EV team has carefully selected talents and formed a team of about 300 employees. The strong appeal of talent recruitment demonstrated that Xiaomi has become an emerging force that carries high expectations among the business insiders. As the team is still expanding rapidly, it welcomes more like-minded talented individuals to join.
During the five months from the announcement of Xiaomi EV initiative to the official registration of the EV company, the Xiaomi EV team has conducted a massive amount of user research and industry chain inspections, with more than 2,000 interview surveys and visits to over 10 industry peers and partners, while pressing ahead with the EV product definition and team formation.
In addition, Xiaomi announced its acquisition of an autonomous driving technology company Deepmotion Tech on August 25. There are 16,000 engineers at Xiaomi currently and its R&D expenses was nearly RMB10 billion in 2020. This demonstrates Xiaomi’s capability and confidence in having a rich talent pool and technologies. Xiaomi’s technological advantages in artificial intelligence, new materials and other fields will form a strong support for the automotive business.
In the meantime, Xiaomi reported record revenue and profit growth in its second quarter 2021 earnings results: total revenue reached RMB87.8 billion, up by 64% year-over-year, while adjusted net profit was RMB6.3 billion, up by 87.4% year-over-year. The total revenue and the adjusted net profit both reached record highs in the quarter. Additionally, Xiaomi EV has completed its rapid team building while investing heavily in the key technology of autonomous driving.