Xiaomi's Market Value Surpassing HK$90 Billion: A Milestone in Tech Innovation
Xiaomi Group’s stock price hit a historic high, driven by strong performance in smartphones, IoT, and electric vehicles. The company’s market value exceeded HK$90 billion, marking a significant milestone in its journey of technological innovation and market expansion.
In a remarkable display of market confidence, Xiaomi Group’s stock price recently reached a historic peak of HK$36.25 per share, pushing its market capitalization beyond HK$90 billion. This achievement reflects the company’s successful transformation from a smartphone manufacturer to a diverse technology powerhouse.
The foundation of Xiaomi’s success lies in its multi-faceted business strategy. The company has demonstrated impressive recovery in its smartphone division during the first three quarters of 2024, while maintaining steady growth in IoT (Internet of Things) and consumer products. The launch of its electric vehicle division, particularly the SU7, has proven to be a game-changing move, with delivery numbers exceeding 135,000 units in 2024.
Lei Jun, Xiaomi’s founder and CEO, has played a pivotal role in this transformation. His leadership philosophy of “honest pricing and technological inclusion” has resonated strongly with consumers globally. This approach has helped Xiaomi build a loyal customer base of over 500 million users worldwide, creating a robust ecosystem spanning smartphones, home appliances, and now automobiles.
The company’s success in the electric vehicle sector has been particularly noteworthy. The SU7, Xiaomi’s first electric car, has garnered significant market attention, with monthly deliveries consistently exceeding 20,000 units. The upcoming launch of the SU7 Ultra in March and YU7 in mid-2024 suggests strong potential for further growth in this segment.
Xiaomi’s strength lies in its integrated ecosystem strategy. The company has successfully created synergies between its various product lines, from smartphones to smart home devices and electric vehicles. This interconnected approach has not only enhanced user experience but also created significant barriers to entry for competitors.
Looking ahead, Xiaomi’s trajectory appears promising. The company’s commitment to research and development, particularly in artificial intelligence and autonomous driving technologies, positions it well for future growth. The recent expansion of consumer subsidies by China’s National Development and Reform Commission to include digital products further strengthens Xiaomi’s market position.
Perhaps most significantly, Xiaomi’s success represents a shift in global technology leadership. As a Chinese technology company, it has successfully competed with international giants across multiple sectors. Its ability to maintain high quality while offering competitive pricing has challenged traditional market dynamics, particularly in premium segments previously dominated by Western brands.