Xiaomi presented its financial report for the second quarter of this year, noting a 64% increase in revenue, and also announced the acquisition of a young company Deepmotion, which specializes in the development of autopilot technologies for cars.

Source: reuters.com

Xiaomi has announced the purchase of startup Deepmotion for $77.37 million. This acquisition will allow the Chinese company to strengthen its position in the field of self-driving cars, in which it has recently shown great interest. In March, Xiaomi announced that it was going to spend $10 billion to enter the electric vehicle market. To date, no details have been announced about these plans, but it is known that the company is actively recruiting specialists in this field. Xiaomi is also in talks with many players in the automotive industry, but no concrete proposals have been received from management so far.

In terms of financial statements, Xiaomi’s Q2 sales reached $13.56 billion, up from $8.27 billion in the same period last year. Analysts had forecast a figure of $13.05 billion. At the same time, net income was $0.98 billion, an increase of 87.4% compared to the second quarter of last year, and this is higher than analysts had forecast. Such impressive performance was achieved thanks to US sanctions against Huawei Technologies, they played into the hands of Xiaomi’s smartphone division, and also allowed Oppo and Vivo to increase market share.

Canalys analysts noted that in the second quarter, Xiaomi’s share of the global smartphone market increased by 83% compared to the same period last year. In the second quarter, the company shipped 52.8 million smartphones, overtaking Apple to become the world’s second-largest manufacturer after Samsung. If we count only the June shipments, then Xiaomi as a whole has become a world leader. However, in the Chinese market, the company still lags behind Oppo and Vivo in terms of shipments.

The bulk of the company’s revenue comes from mobile phones, with other sources of revenue coming from online advertising and other consumer products. Xiaomi’s internet services division, which makes money from in-app ads, also posted 19.1% year-on-year growth.