Xiaomi 17 Launch: $630 Smartphone Challenges Apple’s iPhone 17 and Tesla’s Dominance

Xiaomi 17 Series Debuts as a Direct Rival to iPhone 17
On September 25, 2025, Xiaomi’s billionaire co-founder Lei Jun introduced the Xiaomi 17 series in a livestreamed event, marking a bold step against Apple’s newly released iPhone 17. Priced at just $630 (4,499 yuan), the Xiaomi 17 undercuts Apple’s flagship by more than $100 while promising cutting-edge features in display, camera, and battery life.
Pricing and Models
The Xiaomi 17 lineup will include Pro and Pro Max editions, similar to Apple’s premium approach. Prices range from 4,499 yuan ($630) for the base model to 5,999 yuan ($840) for the high-end version. This positions Xiaomi strategically in the premium smartphone segment, where Apple currently controls 62% of global sales for devices above $600.
Xiaomi 17 vs iPhone 17: Head-to-Head
In his two-hour keynote, Lei Jun directly compared the Xiaomi 17 Pro with the iPhone 17, highlighting advantages in:
- Battery life – longer-lasting power efficiency.
- Display quality – vibrant color accuracy with adaptive refresh.
- Camera technology – advanced AI photography and low-light performance.
This direct comparison signals Xiaomi’s shift from being a low-cost alternative to positioning itself as a true Apple competitor.
Beyond Smartphones: Xiaomi’s EV Ambitions
Lei Jun also spotlighted Xiaomi’s rapid success in the electric vehicle (EV) market. Following the launch of its YU7 SUV, which outsold Tesla’s Model 3 in China within months, Xiaomi has already delivered 40,000 units and received 289,000 pre-orders in just one hour of announcement.
The company plans to expand production and begin selling its EVs in Europe by 2027, directly challenging Tesla and BYD.
Market Performance and Valuation
Xiaomi’s market value has surged close to $200 billion, thanks to its diversified ventures. Analysts expect the EV business to contribute 10-15% of profits by 2026, while its IoT ecosystem continues to boost consumer electronics sales.
With improving economies of scale, Xiaomi’s gross margin could rise to 22.8% this year.
Overcoming Challenges
Earlier this year, a fatal accident involving a Xiaomi SU7 sedan prompted a recall of 116,000 vehicles. However, corrective actions such as software updates and safety improvements have reassured buyers, with demand remaining strong.
This resilience highlights Xiaomi’s ability to manage crises while maintaining brand trust.
Chip Development and AI Innovation
To reduce reliance on external suppliers, Xiaomi is investing $7 billion into chip research and AI development. With a 2,500-member engineering team, the company introduced the Xring O1 processor, designed to power upcoming devices such as the Tablet 7 Ultra.
This push into semiconductors and artificial intelligence aligns with Xiaomi’s broader goal of building a fully integrated tech ecosystem, much like Apple.
A New Era for Xiaomi
“We’ve undergone a profound transformation over the past five years, and today, a completely new Xiaomi stands firmly in front of a new era,” Lei Jun declared.
With the Xiaomi 17 series, expanding EV ventures, and ambitious chipmaking projects, Xiaomi is no longer just a smartphone manufacturer. Instead, it is positioning itself as a global innovator, challenging industry giants on multiple fronts.
Conclusion: Xiaomi’s $630 Flagship Is More Than Just a Phone
The launch of the Xiaomi 17 series signifies more than a new smartphone release. It is a statement of intent: Xiaomi is ready to rival Apple in smartphones, Tesla in EVs, and even global chipmakers in semiconductors.
By pricing the Xiaomi 17 below the iPhone 17, the company appeals to value-conscious consumers while offering premium-level performance. With strong momentum in the EV market and growing investments in AI and chip technology, Xiaomi’s transformation into a multi-industry powerhouse seems well underway.