Chinese electronics giant Xiaomi has announced an ambitious plan to invest nearly $28 billion (approximately 200 billion yuan) in core technology research and development over the next five years, a move that underscores the company’s growing push to bolster its technological capabilities and secure its position as a global innovation leader.
The announcement was made by Xiaomi Chairman and CEO Lei Jun during the company’s annual technology summit in Beijing, where he outlined the strategic importance of deepening investments in foundational technologies, including artificial intelligence (AI), robotics, semiconductors, and smart manufacturing.
“This commitment marks a pivotal moment for Xiaomi,” Lei said. “In the face of intensifying global competition and rapid advancements in technology, we are focused on building long-term core capabilities that will define our future.”
Strengthening Core Technologies
Xiaomi’s substantial R&D pledge represents a nearly 40% increase over its past five-year R&D spending and reflects the company’s desire to move beyond its traditional image as a smartphone and consumer electronics brand. In recent years, the company has expanded into autonomous driving, robotics, and even electric vehicles — with its debut car, the SU7 electric sedan, receiving a strong market reception earlier this year.
The new funding will be directed at expanding Xiaomi’s internal R&D teams, developing proprietary hardware and software platforms, and forging strategic partnerships with universities and tech firms in China and abroad. Particular focus areas include next-generation AI models, image processing algorithms, in-house chipsets, and advanced materials for wearables and smart home devices.
AI and Robotics at the Forefront
During the summit, Xiaomi showcased a series of AI-driven innovations, including enhanced large language models for voice interaction and next-gen humanoid robotics designed for home assistance and industrial use. The company’s CyberOne robot, which debuted in prototype form in 2022, was shown in a significantly improved version capable of complex motion and speech recognition.
“We aim to build not just smarter products but smarter systems that learn and adapt,” said Zeng Xuezhong, President of Xiaomi’s Smart Devices Group. “This level of intelligence will define the next era of user experience.”
Strategic Implications and Market Outlook
Industry analysts view Xiaomi’s R&D surge as a calculated response to both global technological shifts and the rising competition from domestic rivals such as Huawei and international giants like Apple and Samsung. The move also aligns with Beijing’s broader national strategy to achieve greater technological self-reliance amid ongoing geopolitical tensions and export restrictions.
“Xiaomi is signaling that it wants to play in the top league of global tech innovation — not just in gadgets, but in foundational tech like chips and AI,” said Li Jing, a senior analyst at SinoTech Research. “If successful, this could significantly elevate its brand positioning and long-term profitability.”
Employment and Global Expansion
The company plans to hire over 10,000 new R&D personnel globally, with a particular focus on talent from AI, electrical engineering, and computer science fields. Xiaomi has also indicated that some of the R&D investment will support its global expansion, including the establishment of new research centers in Europe, India, and Southeast Asia.
With over 600 million active users across its ecosystem of devices and services, Xiaomi’s bet on innovation could be pivotal in maintaining its competitive edge and enhancing user loyalty.