Xiaomi confirms plans to make smart electric vehicles, will invest $1.5 billion

Xiaomi has officially confirmed that it will be entering the smart electric vehicle business. Given how wide Xiaomi’s portfolio of products is, it is not surprising to see the brand enter the smart electric vehicle space. The company has revealed that it is setting up a new subsidiary to work on electric vehicles and related business.

Xiaomi plans to invest about 10 billion yuan (about $1.5 billion) over a period of 10 years. Lei Jun, the CEO of Xiaomi, will also be serving as the CEO of the new smart electric vehicles entity.

“The board of directors of the company has resolved to commence the electric vehicle business. The company will set up a wholly-owned subsidiary to operate the smart electric vehicle business.