Xiaomi to unveil prototype car in August; production in 2024
What's the story
Chinese tech giant Xiaomi is tipped to unveil the prototype version of its first electric car next month. Its mass production is expected to commence in 2024.
The upcoming vehicle will be designed by VST Automobile Design, which designed WM Motor's Maven concept car.
Xiaomi will also hire a PR director for the project and start a promotional campaign in the coming months.
Context
Why does this story matter?
Xiaomi is not the only smartphone brand making a dip into the car market. Its rival Apple is working on a project called 'Project Titan,' while Huawei will join the market in the coming days.
As four-wheelers become more tech-loaded, even more players will join this highly competitive space.
Legacy automakers like Ford, BMW, and Volkswagen will face more rivalry.
Project
The company will invest $10 billion in the car business
Xiaomi had announced in March last year that it would create an electric vehicle subsidiary with a $10 billion investment over the next decade.
In September 2021, it registered Xiaomi Auto Co. Ltd, and in November, it inked a pact to build the division's headquarters and R&D section in Yizhuang, China.
The facility will produce 30,000 cars per year once the manufacturing commences.
Variety
What type of cars will be sold?
Xiaomi is planning to sell both A+ and B segment cars.
The former will offer L2 self-driving support and should sport a price figure between CNY 150,000 (around Rs. 17.8 lakh) and CNY 200,000 (Rs. 23.7 lakh).
Meanwhile, B segment vehicles will promise support for L3 autonomous driving and might cost between CNY 200,000 (Rs. 23.7 lakh) and CNY 300,000 (Rs. 35.6 lakh).
Official words
This will be my last major entrepreneurial project: Xiaomi CEO
Xiaomi CEO Lei Jun revealed the reasons behind venturing into the car business.
"The decision was made after numerous rounds of deliberation among all our partners, and this will be the final major entrepreneurial project of my life."
"I am willing to put all my personal reputation on the line and fight for the future of our smart electric vehicle," he added.