Chinese smartphone maker Xiaomi launched a Porsche-style electric sports car on Thursday for less than Tesla’s Model 3. This highlighted the strong competition from new entrants in the crowded Chinese electric vehicle market.
During the two-hour event, Xiaomi CEO and founder Li Jun told a packed room that included the bosses of Chinese electric car makers Nio and Xpeng that the standard model SU7 EV costs 215,900 yuan (US$29,872.02 or 24 rupees). . The Pro and Max versions are priced at 245,900 yuan (approximately Rs. 28,35,934) and 299,900 yuan (approximately Rs. 34,58,709), respectively.
“It is 30,000 (yuan) cheaper than the Model 3,” he said. The price of the Tesla Model 3 in China is 245,900 yuan.
He also said that the SU7 has many performance features compared to Tesla and Porsche’s Taycan and Porsche Panamera models. For example, Ray said that the Tesla Model 3’s minimum range of 700 km is more than 567 km.
The launch comes after the Xiaomi founder announced the company’s foray into electric cars in 2021 and pledged to invest $10 billion (around Rs 83,348 crore) in the auto business, as the latest major entrepreneurial venture of his life . This is the fulfillment of an ambition. Out of
The company has a manufacturing partnership with state-owned automaker Beiqi Group and debuted the SU7 sedan (short for Speed Ultra 7) in December.
The company, best known for smartphones and a wide range of affordable consumer electronics, began accepting orders for the SU7 at 10 p.m. Beijing time (14:00 GMT), the company said it received 50,000 orders in the first 27 minutes.
Delivery of the Standard and Max models will begin at the end of April, and the Pro models will be available at the end of May.
Ray also said that the transition from electronics to automobile manufacturing was not easy. “What I learned most in the three years I worked on this car is that building a car is very difficult. Even giant companies like Apple have given up,” Ray said. Ta. So whoever holds out today and continues to build cars is the hero of today.”
He added: By the end of this year, SU7 will be available in 211 stores in 39 Chinese cities. Xiaomi has not revealed whether the company plans to sell the car abroad.
Price war
Analysts are divided on whether Xiaomi’s car plan will succeed. Some say it’s a natural expansion for the company, as rice cookers, air purifiers and other electronic devices are ubiquitous in Chinese homes.
However, the SU7 deviates from the company’s image as an affordable brand. “Can (Chinese consumers) make the psychological transition from cool, cheap mass-market consumer and home products to premium EVs?” said Tu Le, founder of Sino Auto Insights Consulting.
In addition, the car appeared in a difficult period in the Chinese car market.
“The current market situation presents a serious challenge to new entrants as the top 10 players continue to increase their market share,” said Hernan Cui, an analyst at Kavegal Draconomics.
“If Xiaomi cannot sell in the short term, there is a risk that the company’s earnings will decline in the long term.”
However, Li of Sino Auto Insights said that revenue from other companies works in Xiaomi’s favor.
Analysts say Xiaomi’s smartphone expertise gives it an advantage over traditional automakers when it comes to smart cabins, a feature valued by Chinese consumers.
The SU7 uses a proprietary Hyper OS as an operating system that connects EV users with other devices, including smartphones.
Bhupendra Singh Chundawat is a seasoned technology journalist with over 22 years of experience in the media industry. He specializes in covering the global technology landscape, with a deep focus on manufacturing trends and the geopolitical impact on tech companies. Currently serving as the Editor at Udaipur Kiran, his insights are shaped by decades of hands-on reporting and editorial leadership in the fast-evolving world of technology.
