Xiaomi reportedly taking Huawei-like chip approach to sidestep US ban

Xiaomi is reportedly planning a Huawei-like “custom chip” approach to avoid US ban situations. A new report says that the company is preparing self-developed chips called Xring to evade unwanted sanctions, which may cause a drop in the company’s revenue.

Jukanlosreve tipster on X (via Android Headlines) says that Xiaomi is preparing to launch its own chip – Xring as a backup against US ban circumstances. These SoCs will count under the Xiaomi Xring entity, separate from the main firm.

It is so because the company probably doesn’t want to draw much attention to this matter from the US authorities.

The approach is quite similar to Huawei. Back in 2019, the U.S. banned the Chinese tech giant for security concerns and restricted it from accessing high-end technologies or advanced chipsets.

Huawei somehow managed to develop its own 5G chip and launched it with Mate 60 models in 2023. Hereafter, it introduced many smartphones running on 5G chipset but stopped announcing its product’s chip details on launch events or listing it on official websites to avoid major US scrutiny.

Another reason behind Xiaomi taking this step is that the US is constantly eyeing “small yet significant” progress of China in chip and AI segments. Hence, it could block more Chinese firms from accessing advanced foreign goods in the future.

Inputs add that the new Xring entity counts around 1000 employees at present. Other details of the new chipset are currently uncertain. This step may help Xiaomi, but become a “customer loss” for Qualcomm in the future.

How this proceeds in this topic would be worth looking forward to! Stay tuned.

Xiaomi reportedly taking Huawei-like chip approach to sidestep US ban (Image Credits: Xiaomi)

(Via)