Xiaomi has announced a major increase in research and development spending as it pushes toward becoming a global leader in hardcore technologies. At the 2025 Human Car Home Ecosystem Partner Conference on December 17, Xiaomi Group President Lu Weibing confirmed that the company will invest 200 billion yuan (approximately $28.4 billion) in R&D over the next five years.
For the current year, Xiaomi expects its R&D spending to reach between 32 and 33 billion yuan (about $4.5-4.7 billion). That figure is projected to rise to around 40 billion yuan (roughly $5.7 billion) in 2026. This represents a sharp increase compared to the 105 billion yuan (around $14.9 billion) Xiaomi invested between 2021 and 2025. The company’s R&D spending is set to double over the next five years.
The increased investment is already translating into new products and technological advancements. Xiaomi has unveiled its MiMo foundation model, a self-developed AI model designed for efficient inference across smartphones, smart home devices, and cars. Despite having a smaller parameter size compared to industry giants, MiMo is positioned as a high-performance solution for real-world applications.
Xiaomi is also expanding its efforts in chip development. The company has invested over 13.5 billion yuan (approximately $1.9 billion) in its Xring chip project. The R&D team now includes more than 2,500 engineers. Xiaomi is preparing to accelerate mass production of the next-generation Xring O2 chip. Due to U.S. technology restrictions, the chip will remain on the 3nm process node rather than advancing to 2nm.
According to Xiaomi’s third-quarter financial report, the company’s R&D team has grown to 24,871 people, marking a new record. The company believes its growing investment in research is critical to maintaining competitiveness in areas such as imaging, fast charging, AI, and its integrated Human Car Home ecosystem.
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