Xiaomi, a leading smartphone giant, is gearing up to launch its first SUV model, the YU7, with founder Lei Jun revealing that the official pricing will only be finalized 1-2 days before its official launch. Contrary to rumors, the starting price of the YU7 will not be just RMB 20,000 higher than the SU7 electric sedan, which was initially priced at RMB 215,900 upon its launch on March 28, 2024.
The YU7 made its debut on May 22, with the official launch set for July. Xiaomi has not disclosed pricing details yet, but the SUV’s show cars have already hit the roads in Beijing and will be available in 92 cities by the end of the month.
In addition to the exciting launch of the YU7, Xiaomi is also developing its own automotive chip, set to be released soon. Lei Jun did not specify the exact purpose of the chip, whether it will be used for autonomous driving or the vehicle’s infotainment system. This move positions Xiaomi to join the likes of Nio and Xpeng, who have already launched their in-house developed autonomous driving chips for their electric vehicles.
At a recent investor day event, Lei Jun also mentioned that Xiaomi’s EV business is expected to turn profitable in the second half of 2025. This projection underscores Xiaomi’s commitment to the electric vehicle market and its ambition to become a key player in the industry.
With these developments on the horizon, Xiaomi is poised to make a significant impact in the electric vehicle market in China and beyond. Stay tuned for more updates on Xiaomi’s foray into the automotive industry.
