Xiaomi bets on in-house chips to power AI phones and cars

Xiaomi is pushing deeper into self-developed chips, betting that custom silicon will support advanced artificial intelligence features in its smartphones and electric vehicles. Analysts say the Chinese tech giant is building its own processors to handle complex AI workloads, even as it faces a profit slump and rising component costs. On Monday, Xiaomi unveiled its flagship Xring O3, a 3-nanometre AI processor for smartphones. The chip is scheduled to debut in September aboard the Xiaomi 18 Fold smartphone. The company also introduced the Xring O100, a 6nm AI chip. The move signals Xiaomi’s long-term strategy to reduce reliance on external suppliers and tailor hardware for AI-driven tasks, from on-device language models to in-car intelligence.