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  • Writer's pictureSarah Ruivivar

Xiaomi's Electric Venture Shakes Up Tesla's Reign

Image credits: Weibo

Elon Musk's Tesla has long been the crowned king of the electric vehicle (EV) industry in the U.S. However, in the vast market of China, the throne isn't as secure. With China-based companies providing stiff competition, Tesla's reign is under constant challenge. The latest contender? Xiaomi, one of China's most popular smartphone manufacturers.

Xiaomi, a name synonymous with Android smartphones, is gearing up to make its grand entry into the EV market. Recent reports from Android Authority reveal that Xiaomi has applied for a license to sell EV cars in China. The company's maiden EV offerings, as per regulatory filings, are the Xiaomi SU7 car series, featuring the SU7 and the SU7 Max electric vehicles.

While the filing details the cars' top speeds and weight, the standout feature is HyperOS. This operating system is designed to seamlessly connect users' home, car, and mobile devices, offering a fully integrated user experience.

Xiaomi's smartphone business has been on a roll, with its latest model selling over one million units in just two weeks in China. This smartphone runs on the new HyperOS, hinting at the potential for a smooth transition to Xiaomi's EVs.

Tesla's journey in China has been a rollercoaster ride. Earlier this year, Tesla's Model Y became the world's top-selling EV, thanks to substantial sales in China. However, BYD, a China-based company, still holds the title of the top-selling EV manufacturer in the country. Recently, Tesla's popularity in China waned, with a reported 11% year-over-year drop.

With Xiaomi's entry into the EV market, armed with a fully integrated OS experience between its EVs and its widely popular smartphones, Tesla might find itself in a tight spot. Add to this the existing competition from other EV manufacturers like BYD, and Tesla's road ahead in China seems filled with challenges. But knowing Musk and his team, they're likely already strategising their next move.

Stay tuned for an electrifying showdown!

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