Xiaomi Unveils Xring O3 AI Chip Manufactured by TSMC

Xiaomi has unveiled the Xring O3, a new in-house smartphone processor manufactured by TSMC using a 3-nanometre process. The chip is designed for the company's upcoming flagship foldable phone, with initial shipment targets estimated between 200,000 and 300,000 units. Xiaomi also announced two additional processors: the Xring O100, a 6-nanometre neural processing unit to support the MiMo large language model, and the Xring D100, a 3-nanometre chip for autonomous driving. Both the O100 and D100 have completed development and are scheduled for deployment next year.

Xiaomi has invested over 20 billion yuan, or approximately 3 billion dollars, in Xring chip development, growing its semiconductor design team to over 3,000 people. This move follows the launch of the Xring O1 a year ago, which has seen cumulative shipments exceed one million units across smartphones, tablets, and watches. The company's broader ten-year investment plan for chip development is estimated at 50 billion yuan.

The strategic shift toward proprietary silicon is intended to reduce reliance on external suppliers like Qualcomm and MediaTek while increasing bargaining power and control over product features. This trend mirrors efforts by other tech giants such as Apple, Samsung, and Huawei. The Xring O3 is expected to debut in September aboard the Xiaomi 18 Fold.

Reporting on the event varied by political lean. Center outlets focused on the technical specifications and the strategic goal of supply chain independence. Center-left coverage emphasized the competitive pressure on Qualcomm and MediaTek and the broader geopolitical context of China's AI supply chain. Center-right coverage highlighted the financial risks, framing the investment as a gamble occurring during a profit slump and a period of stagnant consumption.