Xiaomi to develop its own microchips for smartphones

HK-listed Xiaomi plans to manufacture its own microchips for smartphones, another Chinese firm betting on the chip sector, the company announced today. 

Top smartphone companies including Apple, Huawei and Samsung all have their own self-developped chips. The chip strategy will help Xiaomi expand into high-end market segments, analysts said.

Xiaomi will announce the details of its chip strategy at its spring product release conference on Monday, according to the company’s campaign post for the conference.

Meanwhile, Xiaomi will resume selling its Mix models this year, the company’s highest-priced premium product line.

In 2020, Xiaomi posted a net profit of 13 billion yuan, 12.8 percent growth year on year, selling 146 million units — 17.5 percent growth from a year ago.

The company's smartphone sales growth has been limited due to a shortage of chips, said Xiaomi president Wang Xiang. 

Today, Xiao denied a report saying the company is thinking about producing electric cars.