XIAOMI(HK:01810) Sou Hu Cai Jing·2025-05-23 02:55Core Viewpoint - Xiaomi is facing a significant trust crisis in its automotive sector, following a series of negative incidents that have raised concerns about the quality and safety of its vehicles, particularly the SU7 model [2][6][8]. Group 1: Company Developments - Xiaomi unveiled its first self-developed chip, "Xuanjie," and the second vehicle, "Xiaomi YU7," at a strategic product launch event [2]. - The Xiaomi YU7 is positioned as a mid-to-large electric SUV, with dimensions of 4999mm in length, 1996mm in width, and 1608mm in height, and a wheelbase of 3000mm [3]. - The vehicle is expected to be priced higher than the previously suggested 199,000 yuan, with comparisons made to Tesla's Model Y, which is a global best-seller [3][4]. Group 2: Safety and Quality Concerns - Following a tragic accident involving the SU7, Xiaomi has emphasized the importance of vehicle safety, particularly in side-impact scenarios, and has made adjustments to its marketing language regarding autonomous driving features [4][5][7]. - The YU7 will feature end-to-end assisted driving capabilities and will be equipped with laser radar, a significant upgrade from the SU7, which lacked this technology [4]. - Recent incidents, including a fatal crash and issues with vehicle design, have led to public skepticism about Xiaomi's claims regarding its vehicles' safety and performance [6][8][9]. Group 3: Market Position and Strategy - Despite the challenges, Xiaomi has achieved significant milestones in vehicle deliveries, surpassing 200,000 units in just over 11 months, setting a record for first-year deliveries among Chinese electric vehicle brands [2]. - The company is urged to focus on product quality and safety rather than solely on rapid growth and marketing strategies, as it transitions from being a newcomer in the automotive industry [9].