According to media reports, this month, the National Development and Reform Commission (NDRC) has approved Xiaomi Group's electric vehicle production application. This means that Xiaomi Auto is one step closer to officially entering the market. However, this does not mean that Xiaomi Auto can start production immediately, because they still need to pass the review of the Ministry of Industry and Information Technology (MIIT). The MIIT is mainly responsible for evaluating new entrants of automobile manufacturers, vehicle technology and safety requirements. If Xiaomi Auto can successfully obtain approval from the National Development and Reform Commission's "Regulations on the Management of Newly Built Pure Electric Passenger Vehicle Enterprises" and the Ministry of Industry and Information Technology's "Regulations on the Access of New Energy Vehicles", then they can start mass production of their first car. It is reported that Xiaomi Auto plans to complete the mass production of its first car in the first half of 2024, and the number of electric vehicles produced next year will reach 100,000. Xiaomi Group once stated that it will invest $10 billion in its automotive business in the next decade. What is the difference between Xiaomi Auto and the new car-making forces in the market such as NIO, Xpeng, and Ideal? 91che believes that Xiaomi Auto will adopt an independent production model, rather than looking for OEMs to produce like other new car manufacturers. The advantage of doing so is that it can better control costs, quality and supply chain, but it also needs to face greater risks and challenges. In addition, Xiaomi Auto will also implement a strategy of making money by software instead of hardware. In other words, Xiaomi Auto will keep the profit margin of the whole vehicle at around 1%, and obtain income through software services, advertising, Internet finance and other means. Can Xiaomi Auto stand out in the fiercely competitive electric vehicle market? It depends on whether they can create products that meet consumer needs and preferences, and whether they can provide high-quality after-sales service and user experience. It is also worth noting that the software money-making strategy adopted by Xiaomi Auto may also cause some troubles to users. We know that in the smart TV industry, some manufacturers charge for software in order to reduce hardware costs, such as forcing advertisements to be played, charging membership fees, and pushing paid content. These practices have seriously affected the user's viewing experience and satisfaction. If Xiaomi Auto also adopts a similar approach, inserting advertisements on the car machine, charging software service fees, pushing Internet financial products, etc., will users accept it? This may become a difficult problem for Xiaomi Auto. How Xiaomi Auto can achieve software profitability while ensuring user experience is also a problem they need to think about and solve. As a winner of Toutiao's Qingyun Plan and Baijiahao's Bai+ Plan, the 2019 Baidu Digital Author of the Year, the Baijiahao's Most Popular Author in the Technology Field, the 2019 Sogou Technology and Culture Author, and the 2021 Baijiahao Quarterly Influential Creator, he has won many awards, including the 2013 Sohu Best Industry Media Person, the 2015 China New Media Entrepreneurship Competition Beijing Third Place, the 2015 Guangmang Experience Award, the 2015 China New Media Entrepreneurship Competition Finals Third Place, and the 2018 Baidu Dynamic Annual Powerful Celebrity. |
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