Xiaomi electric car is closer to reality. The manufacturer has registered a division for the production of electric vehicles

Chinese technology giant Xiaomi really produces just about everything, from vacuum cleaners to fryers to screwdrivers. However, it is known mainly for its smartphones with an excellent price-performance ratio. However, there is still another segment in which it has no product, but that will soon change. According to the Gizchin portal, the company has officially registered a division that will produce electric vehicles.

The division has already entered the development phase

The company was named Xiaomi EV, Inc. and its registered capital is $ 1.55 billion. Over the next decade, the Chinese giant plans to invest $ 10 billion in the production of electric vehicles. Since its inception, the division has managed to employ 300 people and is headed directly by the founder and head of Xiaomi – Lei Jun.

According to the founders, the division has already entered a “significant phase of development”. Over the last five months, she has conducted an extensive audience survey and established contacts with partners in the industry. Earlier this month, it also bought Deepmotion for $ 77.37 million, which is working to develop autonomous management. The aim was to increase technological competitiveness in the field of electric vehicle production. However, it is still a long way from the reconstruction of a real electric vehicle, or at least its prototype.

Xiaomi will have a hard time competing

In the domestic electric vehicle market, it will be difficult for Xiaomi. China is already dominated by local giants such as Nio and Xpeng, as well as world-renowned companies such as Tesla and the Chinese company BYD, which has the support of financial magnate Warren Buffett.