Chinese tech firm Xiaomi has unveiled Sky Nomad, a new SUV series that will use extended-range electric vehicle technology. The SUVs, branded Pengcheng in Chinese, mark Xiaomi's expansion beyond battery-powered sedans and crossovers into a category popularised by manufacturers such as Li Auto. EREVs are plug-in hybrids that use a combustion engine as a generator to extend battery driving range. Xiaomi's electric vehicle business has become a revenue pillar over the past two years as growth slowed in its core smartphone market. The company positions its cars as high-tech Chinese alternatives to Tesla models. By end-June, Xiaomi had delivered 258,232 YU7 crossovers since its June 2025 launch. The firm plans to launch vehicles in Europe next year.

China's three largest Android smartphone makers — Xiaomi, Oppo and Vivo — have slashed 2026 shipment targets by up to 30% amid a severe memory shortage driven by AI-server demand, according to Nikkei Asia. Xiaomi has cut its revised forecast to roughly 95 million units, down from an initial 135 million. Oppo and Vivo have reduced targets to below 90 million units each. The shortage stems from cloud providers locking up memory production through long-term contracts, with a single Nvidia AI processor tray consuming DRAM chips that would otherwise supply smartphones. Micron Technology reported record Q3 fiscal 2026 revenue of $41.46 billion, benefiting directly from the shortage. Gartner projects global smartphone shipments will fall 8.4% in 2026, with prices rising 13%, and expects elevated memory prices to persist until late 2027.

Xiaomi's MiMo-V2.5 model surged to sixth place on OpenRouter after slashing API prices by up to 99% on 27 May. The model processed 1.7 trillion tokens in the week to Monday, up more than 999% from the previous week. The aggressive pricing targets developers and enterprise customers through token-based billing via API keys. Shanghai-based MiniMax followed suit on Monday, launching its M3 model with token-based billing and subscription plans for long-horizon agentic work, coding and tool use. The moves intensify China's AI price war across more than 200 local large language models, as companies compete for market share in the country's crowded artificial intelligence sector.