Intensive withdrawal from Xiaomi affiliates Lei Jun opened the "second half"

The recent frequent movements of Lei Jun, the founder of Xiaomi Group, have attracted attention from the outside world.

On December 13, a reporter from China Times saw on an industrial and commercial information website that Lei Jun had resigned from the executive director position of Nanjing Information Technology Co., Ltd. (hereinafter referred to as "Mi Space"), which was taken over by Zhang Feng, senior vice president of Xiaomi Group. Tianyan also showed that in the week since December 6, Lei Jun has successively withdrawn from the legal representatives, chairman and executive directors of many xiaomi affiliated companies such as Xiaomi Technology (Wuhan) Co., Ltd. and Guangzhou Xiaomi Communication Technology Co., Ltd.

Lei Jun's withdrawal from many of Xiaomi's affiliated companies has been interpreted by the market as Lei Jun will concentrate on "doing big things" - since this year, Xiaomi has continued to move in the fields of car building and core building. However, on December 13, when Xiaomi was asked by the "China Times" reporter and related questions, it only said that there was relevant information that would be synchronized at the first time.

Intensive exit

According to public information, Lei Jun's latest withdrawal from Mi Space was established by Xiaomi in Nanjing in March 2019, with the legal representative being Zhang Feng, and its business scope includes information system integration services, information technology consulting services, software development, etc. MI Space NJ Limited is a wholly-owned holding company of Mi Space.

Prior to this, Lei Jun had successively withdrawn from the positions of legal representative, executive director or chairman of a number of Xiaomi affiliated companies located in Guangzhou, Zhuhai, Wuhan and other places.

Among them, from December 6 to 7 alone, Lei Jun no longer served as the legal representative, executive director and general manager of Xiaomi Technology (Wuhan) Co., Ltd., and no longer served as the executive director of Guangzhou Xiaomi Information Service Co., Ltd. Subsequently, he also withdrew from the relevant positions of Guangdong Xiaomi Technology Co., Ltd., Guangzhou Xiaomi Communication Technology Co., Ltd., Zhuhai Xiaomi Communication Technology Co., Ltd. and other companies.

"Boss Ray is going to indulge in building cars?" For Lei Jun's recent intensive withdrawal from Xiaomi's affiliated companies, some voices in the market believe that this is a signal that Lei Jun will concentrate on building cars.

Zhang Yi, CEO of Ai Media Consulting, analyzed the "China Times" reporter that Lei Jun's withdrawal from these enterprises also shows that Lei Jun and the millet he leads have to some extent moved towards a relatively benign management cycle. In addition, for Lei Jun, car manufacturing is a huge test and pressure, because Xiaomi entered the market late, car competition has also entered the Red Sea, lei Jun needs to invest in car building.

However, Internet analyst Ding Daoshi analyzed the "China Times" reporter that "almost all the first-line Internet bigwigs are at least dozens or hundreds of legal persons of companies, and at the same time, they withdraw or add at least many companies' legal persons every year, so this change is difficult to explain what the problem is, more depends on what to do based on the business." ”

Tianyan's investigation shows that Lei Jun is still working in 92 companies. At present, he is still the chairman and CEO of Xiaomi. On September 3 this year, the Hong Kong Stock Exchange disclosed that Lei Jun's personal shareholding in Xiaomi fell from 10.63% to 9.12%, and the number of shares held decreased by 308 million shares. Xiaomi said at the time that this stemmed from lei jun's no longer controlling the lei jun foundation according to local regulations in Hong Kong, resulting in a decrease in the share of the countable, not a reduction in holdings. According to Xiaomi's announcement in July this year, Lei Jun donated 308 million shares of the company's Class B shares to the Xiaomi Foundation and the Lei Jun Foundation for public welfare purposes.

A battlefield beyond mobile phones

In 2010, the 41-year-old Lei Jun and six founders founded Xiaomi and entered the fiercely competitive mobile phone industry. Ten years later, in 2020, Xiaomi's revenue reached 245.8 billion yuan.

At present, Xiaomi includes three major businesses: smart phones, IoT and life consumer products, and Internet services, of which smartphone revenue accounts for more than 60%.

In the second quarter of 2021, Xiaomi's 52.9 million mobile phone sales surpassed Apple's, becoming the second in the world for the first time, with a market share of 17%. In that month, Lei Jun announced Xiaomi's new goal at the annual speech: to win the world's first place in three years.

However, winning the "world first" is not an easy task. In the third quarter of this year, due to the chip shortage and other factors, Xiaomi's mobile phone shipments and rankings declined. In the current period, Xiaomi's global smartphone shipments were 43.9 million units, and the global ranking returned from second to third, and the market share fell to 13.5%. The day after the release of the third quarterly report, Xiaomi's stock price fell 6.96%.

In addition to sticking to the main position of smart phones, Xiaomi has also entered a number of fiercely competitive areas. In 2014, Xiaomi began to enter the field of core making. On December 7, Shanghai Xuanjing Technology Co., Ltd. (hereinafter referred to as "Shanghai Xuanjing") was established with a registered capital of 1.5 billion yuan.

The company is wholly owned by X-Ring Limited, the company's business scope includes integrated circuit chip design and service company, is regarded as an important step in the Xiaomi core manufacturing plan, Zeng Xuezhong, who is responsible for Xiaomi's mobile phone business, serves as the executive director, general manager and legal representative of Shanghai Xuanjing, and Xiaomi co-founder Liu De serves as the supervisor of this company.

In addition, under the boom of cross-border car manufacturing, at the end of March this year, Xiaomi Group also officially announced the construction of cars, with an initial investment of 10 billion yuan. At that time, Lei Jun also called Xiaomi car manufacturing "This will be the last major entrepreneurial project in my life, and I am willing to bet on all the achievements and reputation accumulated in my life." In September this year, Xiaomi Automobile Co., Ltd., headquartered in Beijing, was officially established. Lei Jun serves as the legal representative and general manager. On October 19, Lei Jun said at the investor meeting that Xiaomi Auto is expected to be officially mass-produced in the first half of 2024.

Ding Daoshi analyzed the "China Times" reporter that the mobile phone industry basically has been determined, and this year Lei Jun dared to announce the construction of a car, which must have been prepared for a long time. "For a long time in the future, Lei Jun's main energy will definitely be in building cars, and he will personally grasp the car business." Whether the future car-making business can be done well will determine whether Xiaomi can become a first-line enterprise, and if it is done well, it will go further; if it is not done well, the previous accumulation will also be greatly affected. ”

As of press time, Xiaomi's share price edged up 0.42% to HK$19.28, down about 46% from its high of HK$35.90 in January this year.

Responsible Editor: Huang Xingli Editor-in-Chief: Han Feng