Xiaomi’s Strategic Pivot: EV Breakthrough Overshadowed by India Withdrawal

Chinese tech conglomerate Xiaomi is executing a significant strategic reversal, halting all new investments in what was once a crucial growth market: India. This dramatic shift comes amid escalating regulatory challenges and the freezing of substantial corporate assets. However, as one chapter closes, the company is aggressively writing another, finding unexpected momentum in the competitive electric vehicle sector.

The decision to curtail operations in India follows months of mounting tension with local authorities. Regulatory bodies have frozen approximately $560 million of Xiaomi’s funds amid investigations into allegedly illegal financial transfers. This financial constraint coincides with a severe contraction in the company’s market position. Smartphone shipments plummeted by 23.5% in the second quarter, resulting in Xiaomi dropping out of India’s top five smartphone vendors for the first time... Read more...