On May 23, Daiwa Securities issued a report reaffirming Xiaomi's target price at HK$65 and maintaining its 'Buy' rating. Xiaomi has recently introduced an array of new products, including the cutting-edge Xuanjie O1 3nm processor, Xiaomi 15S Pro smartphone, Xiaomi Pad 7 Ultra tablet, and Xiaomi YU7. Xiaomi's chip strategy is centered around internal utilization, aimed at fostering long-term competitive advantages and achieving a seamless integration of software and hardware, echoing Apple's methodology. Looking ahead, Xiaomi intends to ramp up its R&D investments, with a projected outlay of RMB 30 billion in 2025 and an ambitious plan to allocate RMB 200 billion from 2026 to 2030. Additionally, the company will invest RMB 13.5 billion to establish a team comprising over 2,500 professionals, with at least RMB 50 billion earmarked specifically for chip R&D.
