XIAOMI WILL NOT ABANDON DEVELOPING ITS IN-HOUSE PROCESSORS

Credit: Xiaomi

The example of Huawei Technologie Groups is in front of everyone’s eyes. As soon as the Chinese corporation gained a leading position in the smartphone market and wireless network base stations, US sanctions made it impossible to create processors developed & design in-house. Xiaomi against this environment so far exhibits modest ambitions but declares that it will not give up developing & designing its own processors.

Last week, we saw Xiaomi’s in-house design chip named "Surge C1" that will be in use in its flagship smartphones for image processing. The Surge S1 SoC was produced by Xiaomi back in 2017, so this is the second occurrence of this kind for the firm. As Lei Jun, the co-founder of Xiaomi said during the Spring launch presentation, the firm has been heavily investing in the research and development of its own silicon for the past seven years. “This pathway is hard and full of challenges, but we have the persistence and determination to win it, ” said the CEO of Xiaomi at the Spring launch event.


XIAOMI'S STRUGGLE FOR IN-SOUSE SILICON 


According to a report from the Nikkei Asian, from 2019 to March of 2021, Xiaomi has invested in 34 start-ups or companies; They are one way or another linked to various electronics and the production of components for smartphones. Also, another 25 companies not linked to the semiconductor industry have got investments from Xiaomi throughout this time. This kind of action is executed by a special division of the "Hubei Xiaomi Changjiang Industry Fund Partnership"; among the shareholders of which are the local governments of Wuhan. This fund was established in 2017 with a recorded capital of 1.82 billion US Dollar, but by 2019 had invested in just six firms linked to the semiconductor industry. But in 2020, the number of Xiaomi investment firms exceeded 30 companies; of which more than 20 were linked to the semiconductor industry.

Isaiah Research experts even asserted that Xiaomi will be able to ship as many smartphones as Apple in 2021. Beneath the weight of US sanctions, Huawei drifted out of the top three in the smartphone market in the fourth quarter of last year, and Xiaomi was able to increase the number of smartphone shipments by 17.5% in 2020, which is pretty good despite the overall negative market dynamics or Covid-19 pandemic. The firm has so far succeeded to evade US sanctions; Efforts by the US governments to prohibit local investors from buying Xiaomi shares were prevented by a court decision.




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