Lei Jun is one of the bright minds behind the Xiaomi Group. In recent years, he has been the absolute authority in the company. In recent months, however, we have noticed some changes. In the latest development, Xiaomi’s co-founder and CEO is stepping down as chairman. Do not worry! He simply leaves one of the company’s branches. Lei Jun is no longer the chairman of Xiaomi Electronic Software Company.
For those who don’t know, this is a division within Airstar Digital Technology. It is one of Xiaomi’s subsidiaries, controlling the consumer finance operations. These operations include digital payments and digital wallets. Both are very important in today’s digital world. However, the executive branch is no longer at the helm of such operations.
Lei Jun shifts his focus as chairman
To recall, this is Lei Jun’s second major move in the past six months. Back in April, the CEO left Xiaomi Youpin. It is a familiar name to Xiaomi enthusiasts – it is an e-commerce platform for lifestyle products. Youpin also works as a Chinese form of “Kickstarter”. This allows companies to tease products or simply sell them directly to consumers. It usually contains a lot of non-traditional products from Xiaomi, to transport home appliances.
Curiously, another director of the same company, Lin Bin, is also stepping down. However, both executives retain their stakes. According to Xiaomi’s PR department, this is normal business for Xiaomi’s subsidiaries. The purpose of such a move is to streamline their internal management process.
For Lei Jun, the future is in the EV segment
It all seems to be part of Mr.Jun’s recent change of interests. Xiaomi CEO is reportedly turning his efforts to electric vehicles. This surprised. The recent Tesla phenomenon has ushered in a new trend in electric vehicles. Most of the major car manufacturers are planning to go full electric in the next few years.
Many of the technology-related companies also want a piece of this new market. Xiaomi, obviously, wants to make a brilliant entrance. Future cars will be more than electric. These “tech companies” can revolutionize the segment with their technology and expertise.
Xiaomi’s first vehicle has reportedly been held back by certain regulatory barriers. However, the company continues to work to make it a reality. Lei Jun hints at the company’s defining entry into this market.
Xiaomi currently has more than 1,000 people working in its R&D department. The goal is to “push forward” innovative vehicles. According to reports, Xiaomi’s first car will appear in late 2024 or early 2025.
Xiaomi has about 140 self-driving cars in China
A few weeks ago, Lei Jun made a revelation. According to him, Xiaomi Corporation is already conducting tests on 140 cars in China. The goal is to achieve advanced autonomous driving. Autonomous driving is certainly one of the “next big things” for tech companies.
Google, Uber, Tesla and others are trying to make this technology reliable. However, most of them face regulatory barriers. Also, the technology is still far from being truly reliable. Xiaomi also works in this range. The Chinese company intends to go “from nothing” (in this segment) to one of the most innovative brands.
According to Mr. June, the company has 500 employees who develop autonomous driving technologies alone. So far, the investment in this technology has easily passed the 3.3 billion yuan barrier.
Is Xiaomi on the right track?
Will Xiaomi’s recent efforts in the category pay off? Only time will tell, but everything seems to be on the right track. The executive’s determination in the category hints at a strong future for the automotive market.