China’s Xiaomi Steps Into Chip Race With 3nm SoC, Targets Premium Smartphone Market

China's largest technology company, Xiaomi, is now gearing up to come up with its own high-end smartphone chips. The vice president of Xiaomi, Xu Fei, said that this will further solidify the global presence of Xiaomi, but this chip will not be introduced annually like Apple.

Xiaomi launched its first system-on-chip (SoC), 'XRing 01', last year. It is developed upon 3-nanometer technology, which is regarded as one of the world's most cutting-edge processing technologies. Xiaomi has committed to spending 50 billion yuan (approximately $7 billion) over the next decade. Xiaomi will have to sell a minimum of 10 million units per chip to break even.

The system-on-chip is considered the brain of a smartphone, seamlessly integrating both hardware and software. Xiaomi has its own HyperOS (Android-based system) and HyperAI (AI tools). With its own chip, Xiaomi will be able to further optimize both. Users will directly benefit from faster performance, battery savings, and a smoother experience.

Currently, Xiaomi relies on Qualcomm and MediaTek chips for its smartphones. The recently launched Xiaomi 17 also comes with Qualcomm's latest system-on-chip. Vice President Xu Fei clarified that Xiaomi will develop its own chips but will also continue its partnership with Qualcomm and MediaTek.

Xiaomi manufactures not only smartphones but also smartwatches, refrigerators, smart home devices, and electric vehicles. Its experience in developing chips for smartphones will help it develop semiconductors for other products in the future. Experts believe this move will put Xiaomi in competition with giants like Apple, Samsung, and Huawei.

It's clear that Xiaomi doesn't want to rush. The company's focus is on gradually learning this technology and further strengthening itself as a premium smartphone brand over the next decade.