Smartphones, AIoT & EVs · Human×Car×Home ecosystem
Xiaomi
Xiaomi runs an ecosystem flywheel — selling smartphones and AIoT hardware at thin margins to acquire users, then monetizing them through high-margin internet services (76.5% GPM) — now bolted to a new growth engine in EVs (SU7, YU7). The real news in FY2025's +25% revenue (RMB457.3bn) is not scale but that EVs turned — 411k deliveries (+200%) and the segment's first operating profit — shifting the auto bet from a loss-making venture into a re-rating axis that rewrites the group's valuation. Smartphones shed volume (-2%) yet push premiumization and vertical integration via the in-house 3nm XRING chip that cuts Qualcomm dependence, while Lei Jun's ~90% voting control (weighted voting rights) keeps long-gestation bets in chips, EVs and AI coherent.
1810.HK Updated Jul 12, 2026 5 AI consumers· 3 recurring
Per the valuechain.wiki graph, Xiaomi is directly linked to 7 companies (7 supply, 0 revenue relationships) and reaches 17 companies within two hops; the links are backed by 11 dated sources, 1 of them primary filings (as of 2026-07-12).
Financials & Segments
- Total revenue · RMB457,286.7m (FY2025 consolidated, +25.0%, record)
- Segments · Smartphones · IoT & lifestyle · Internet services · Smart EV / AI & new initiatives
Revenue from
- Internet services (ads/subscriptions, undisclosed) High confidence
Internet services is small in scale (RMB37.4bn) but, at 76.5% GPM, the real source of group profit — the flywheel's settlement point that monetizes 754m MAU via ads, gaming and fintech. Rising overseas share (33.8%) makes ex-China monetization the next lever.Confirms EN Xiaomi Corporation Published Apr 28, 2026: Xiaomi Corporation — Annual Report 2025 (HKEX) - Smartphone end market (global consumers/carriers, undisclosed) High confidence
The end market is global consumers, but this line's strategic role is the ecosystem's entry point, not profit — a thin-margin (10.9% GPM) user-acquisition engine feeding high-margin internet services. Shipments fell 2% on India weakness, yet it defends its No.3 position (13.3% share) and protects ASP via premiumization and a rising China mix.Confirms EN Xiaomi Corporation Published Apr 28, 2026: Xiaomi Corporation — Annual Report 2025 (HKEX)Confirms KO Nate News Published Mar 25, 2026: Xiaomi posts record FY2025; auto revenue tops RMB100bn - IoT & lifestyle consumers (undisclosed) High confidence
IoT & lifestyle matters beyond its revenue (+18.3%) as the ecosystem's expansion vector — tablets, large appliances and wearables grew on Chinese subsidies and premiumization, lifting connected devices to 1,079m, and that device base widens the foundation for internet-services monetization.Confirms EN Xiaomi Corporation Published Apr 28, 2026: Xiaomi Corporation — Annual Report 2025 (HKEX) - EV buyers (SU7/YU7, undisclosed) High confidence
EV buyers (SU7/YU7) are the group's new growth engine — 411k deliveries (+200%) and the segment's first operating profit (24.3% GPM) shed the loss-making-venture label. SU7 as the No.1 sedan above RMB200k and YU7 as the No.1 mid-large SUV prove premium positioning, making this the core axis of the group's re-rating.Confirms EN Xiaomi Corporation Published Apr 28, 2026: Xiaomi Corporation — Annual Report 2025 (HKEX)Mentions EN Goldman Sachs Published Apr 1, 2026: Goldman Sachs keeps Buy on Xiaomi, TP HK$40 (44-analyst Buy consensus)Confirms KO Nate News Published Mar 25, 2026: Xiaomi posts record FY2025; auto revenue tops RMB100bn
Pays to
- Sunny Optical High confidence
Sources smartphone camera lenses and modules from Sunny Optical (global No.1 in both) — with the camera a key differentiator in premium phones, securing high-end optics ties directly to the competitiveness of Xiaomi's flagships.Confirms EN South China Morning Post Published Aug 1, 2025: Sunny Optical supplies cameras to major smartphone brands incl. Xiaomi - BYD Electronics High confidence
Outsources part of smartphone assembly and components to BYD Electronics (China's No.2 EMS after Foxconn) — one leg of assembly-partner diversification in a fabless-manufacturing model.Confirms KO ZDNet Korea Published Sep 16, 2020: China's BYD makes Apple iPads; also assembles for Huawei, Xiaomi, Samsung - CATL High confidence
Supplies ternary (NMC) batteries for SU7 upper trims and YU7 Max, the high-performance tier — Xiaomi dual-sources from CATL and BYD to spread dependence, price and volume risk. As the battery is the largest EV cost item, this dual-sourcing is central to margin and supply stability. - BYD (핀드림스 배터리) High confidence
Supplies LFP batteries (BYD's FinDreams) for SU7 Standard and single-motor YU7 — the value/entry tier, dual-sourced against CATL's ternary cells. Splitting battery suppliers by trim optimizes cost, safety and supply. - Qualcomm High confidence
Primary flagship AP source (Snapdragon) — but Xiaomi runs its in-house 3nm XRING alongside it to reduce sole dependence on Qualcomm. As the AP drives smartphone cost and performance, scaling its own silicon is what will shape long-term procurement leverage and differentiation. - TSMC (XRING 파운드리) High confidence
Fabs its XRING O1 — the first Chinese-designed 3nm flagship SoC — at TSMC N3E; as the RMB50bn chip-R&D commitment signals, Xiaomi internalizes design but still depends on TSMC for leading-edge fabrication. The in-house chip is a long-term bet on easing Qualcomm dependence and differentiating hardware, with 1M+ units shipped proving viability.Confirms EN Xiaomi Corporation Published Apr 28, 2026: Xiaomi Corporation — Annual Report 2025 (HKEX) - Will Semiconductor Medium confidence
Sources high-resolution CMOS image sensors (OV50 family) from Will Semiconductor (OmniVision) for phone cameras — with the camera a key premium differentiator, securing high-pixel sensors ties directly to flagship competitiveness. It runs a multi-sensor supply base to spread single-supplier dependence.Confirms KO Korea Economic Daily Published Jul 13, 2025: Samsung supplies nanoprism sensor to China; OmniVision share rises to 11.9% in 2024
Investors
- Lei Jun / Smart Mobile Holdings (controlling shareholder, 90.06% votes) High confidence
Founder Lei Jun holds 90.06% of votes via Smart Mobile Holdings and ARK Trust under weighted voting rights — the basis for pushing long-gestation, capital-heavy bets (XRING chips, EVs, AI) consistently, insulated from market pressure. A Cayman entity; institutions such as BlackRock hold Class B shares.Confirms EN Xiaomi Corporation Published Apr 28, 2026: Xiaomi Corporation — Annual Report 2025 (HKEX)
Investments
- Xiaomi ecosystem & supply-chain investment portfolio (~410 companies) High confidence
The ~RMB89.0bn portfolio (RMB87.1bn book) across ~410 companies is strategic, not merely financial — locking in the IoT ecosystem, components and EV supply chain. Individual stakes are mostly <5%, but tying ecosystem firms with capital broadens the supply and content base of the hardware flywheel (RMB3.1bn after-tax disposal gain in 2025).Confirms EN Xiaomi Corporation Published Apr 28, 2026: Xiaomi Corporation — Annual Report 2025 (HKEX)
Value-chain ripple (2 tiers)
Following node-to-node links up to 2 tiers; each firm is shown once, at its nearest tier.
| Company | Chain | '21 | '22 | '23 | '24 | '25 | YTD |
|---|---|---|---|---|---|---|---|
| Xiaomi | node | -43.9 | -21.1 | -4.6 | +209.7 | -6.9 | -19.9 |
| Sunny Optical | benef1 | -1.5 | -46.8 | -54.4 | +46 | -8.9 | +14.3 |
| CATL | benef1 | +67.4 | -21.4 | -40.6 | +74.5 | +39.4 | +2.2 |
| Qualcomm | benef1 | +22.3 | -38.6 | +35.1 | +8.3 | +13.8 | +0.2 |
| BYD Electronics | benef1 | -56.1 | +16 | -0.4 | +60.6 | -19.4 | -24.1 |
| Will Semiconductor | benef1 | -12.1 | -49.7 | -8.3 | +22.8 | +15.5 | -33.7 |
| Soitec | benef2 | -3.7 | -13.4 | -2.3 | -37.4 | -68.9 | +386.9 |
| United Microelectronics (UMC) | benef2 | +43.2 | -40.3 | +39.2 | -19 | +28.8 | +168.9 |
| Samsung Electronics | benef2 | -9 | -14.2 | +20.9 | -26.4 | +212.9 | +59.7 |
| TSMC | benef2 | +12.1 | -36.7 | +42.3 | +92.6 | +55.9 | +41.9 |
| JCET (Jiangsu Changjiang Electronics) | benef2 | -34 | +0.2 | -15.2 | +73.3 | +28 | +36.3 |
| King Yuan Electronics (KYEC) | benef2 | +26.7 | -7.7 | +132.4 | +38.6 | +171 | -6.7 |
| SMIC | benef2 | -29.6 | -7.4 | -18.3 | +169.9 | +98.4 | -10.9 |
| BYD | benef2 | -6.5 | +10.5 | -28.5 | +58.9 | +8.7 | -11.4 |
| Ronbay Technology | benef2 | +96.6 | -39.1 | -63.6 | +12.3 | +47.7 | -20 |
| Chunbo | benef2 | +40.4 | -7.3 | -65 | -55.6 | +59.1 | -32.5 |
| Leeno Industrial | benef2 | +21 | -5.3 | +18.3 | +9.5 | +150.1 | -37.1 |
| Enchem | benef2 | · | -37.4 | +173.9 | -20.5 | -26.1 | -79 |
YTD as of 2026-09-04 · source: Yahoo Finance
Xiaomi operates across Hang Seng Index, Smartphones/AIoT/EV, 'Human×Car×Home' ecosystem. It remained weak at -6.9% in 2025 and -19.9% in 2026. The supply side (avg +14.7%) leads the stock (-19.9%), with spending rippling down to suppliers first. Among connected nodes the furthest ahead is TSMC (+41.9%) and the furthest behind is Qualcomm (+0.2%). If chain logic explains the gap, the laggard is the next propagation candidate; if not, the link itself deserves a second look. Smartphones shed volume (-2%) yet push premiumization and vertical integration via the in-house 3nm XRING chip that cuts Qualcomm dependence, while Lei Jun's ~90% voting control (weighted voting rights) keeps long-gestation bets in chips, EVs and AI coherent.
Analysis generated from returns as of 2026-09-04