Xiaomi’s Twin Product Offensive: A Five-Year Battery Pledge and a Range-Extender SUV Aim at Two Different Targets

Xiaomi closes at €2.80, up 5.79% for the week, after unveiling a 5-year battery warranty on Redmi Note 17 and launching the Sky Nomad EREV SUV brand to compete with Li Auto and Aito.

Xiaomi closed Thursday at €2.80, a gain of 5.79% on the week, after a volatile stretch that saw the stock spike 9% intraday on Wednesday before giving back some of those gains. The gyrations reflect a company firing on two fronts: a smartphone battery guarantee that challenges industry norms and the launch of a dedicated SUV brand that puts it squarely in competition with Li Auto and Huawei-backed Aito.

The Redmi Note 17 series, hitting the Chinese market on 14 July, will be the first phone to carry a five-year battery warranty. The Pro model packs a 9,000 mAh cell, and Xiaomi promises a free replacement if capacity drops below 80% within the first four years, with an upgrade to a stronger unit in year five. The device also features an OLED display with a peak brightness of 3,500 nits and an IP69K dust-and-water rating – protection levels rarely seen in this price bracket. The move targets consumer anxiety about battery degradation, a persistent pain point in a market where two-year warranties are standard.

On the automotive side, Xiaomi unveiled the “Sky Nomad” SUV series – known domestically as Pengcheng – on Thursday, with CEO Lei Jun announcing the models on his Weibo account. The first model, codenamed N90 or Kunlun N3, is a large SUV measuring 5.3 metres long with a 3.1-metre wheelbase, available as a five- or seven-seater. It uses an EREV (extended-range electric vehicle) drivetrain: a 1.5-litre turbocharged combustion engine acts as a generator to charge a battery pack exceeding 70 kWh. That setup yields 400–500 kilometres of pure electric range and a total combined range of over 1,500 kilometres. The technology, popularised by Li Auto, sits between plug-in hybrids and pure battery-electric vehicles and has proven highly profitable in China’s family-SUV segment.

Lei Jun positioned Sky Nomad separately from Xiaomi’s existing SU7 and YU7 models, which he described as “driver’s cars”. The new brand is pitched as an “intelligent, versatile, spacious” SUV – a second answer to evolving customer expectations, where a car is no longer just transport but a “second home”. The brand name was first teased on 8 July, with full details following this week. No pricing or launch date has been announced yet.

The auto division is quickly becoming a material contributor to Xiaomi’s revenue. The SU7 sedan and YU7 crossover have driven deliveries – by the end of June, Xiaomi had shipped 258,232 units of the YU7 since its launch in June 2025. That compares with 471,207 Tesla Model Y units sold in China over the same period, according to data from the DCar platform. In June, Xiaomi logged its third consecutive month of more than 30,000 vehicle deliveries. Exports have not yet begun, but the company plans to enter Europe next year.

Alongside the product launches, Xiaomi’s broader “Human x Car x Home” ecosystem is getting a software refresh. HyperOS 4, based on Android 17 and built with Rust and Flutter, is scheduled to roll out in July and August. The new architecture aims to reduce RAM consumption and boost processing speed, helping offset rising hardware costs.

Despite the week’s gains, the stock remains deeply underwater. The €2.80 close is nearly 57% below the 52-week high of €6.51 reached last September. Year to date, Xiaomi has lost 37.56%, and over the past twelve months the decline stands at 54.80%. The shares trade below both the 50-day average of €3.01 and the 200-day average of €3.90. The relative strength index sits at 52.8, indicating neutral momentum after the recent bounce from the 52-week low of €2.34 touched on 26 June. The market capitalisation is roughly €66.8 billion.

With the Redmi Note 17’s battery promise addressing hardware longevity in smartphones and the Sky Nomad targeting the lucrative EREV SUV niche, Xiaomi is trying to stabilise two core businesses at once. The next real test will come on 14 July, when the phone goes on sale and sales data will begin to show whether the five-year guarantee resonates with buyers – and whether the stock can build a path back toward that 200-day moving average.