Xiaomi has officially launched its new flagship smartphone, the Xiaomi 15 Ultra, priced at 6,499 RMB, marking the company's significant step toward the ultra-high-end phone market. CEO Lei Jun described the device as the culmination of Xiaomi's exploration of high-end technology over the past five years, signaling its increased commitment to premium offerings.
Equipped with Qualcomm’s Snapdragon 8 Gen 2 chip, the Xiaomi 15 Ultra boasts features such as Leica imaging technology, supporting 28x lossless zoom and satellite connectivity, unprecedented among smartphones. This flagship device is the first Android phone capable of capturing cinema-quality video with ACES LOG format. With its design, Xiaomi has kept the starting price unchanged from its predecessor, hitting 6,499 RMB, which means the new lineup has been marketed as offering more features without raising prices.
Notably, the pricing strategy puts Xiaomi at odds with government subsidies intended for smartphones priced under 6,000 RMB, preventing the Xiaomi 15 Ultra from benefiting from these incentives. The company hopes this decision will help solidify its position against competitors such as Apple.
Despite the anticipation surrounding the Xiaomi 15 Ultra, Xiaomi's stock displayed volatility during the launch period. On the day of the launch, February 27, 2025, the shares surged by over 4%, reaching historic highs. This surge pushed Lei Jun’s wealth to approximately 440 billion RMB, briefly surpassing Zhong Shanshan, the founder of Nongfu Spring, and making Lei the richest man in China.
Unfortunately, the excitement was short-lived. Shortly after reaching the peak, Xiaomi's shares plummeted, closing down nearly 8%, dragging Lei Jun's fortune back below 370 billion RMB, as market analysts speculated about the stock's performance and the company's valuation. The swift drop highlighted the volatility of market perceptions and the significant influence of large corporate launches.
Industry analysts weighed in on the fluctuative nature of Xiaomi's stock performance, with some linking Lei Jun's short tenure as the richest man to possible market corrections. Analysts from Citigroup highlighted various catalysts for Xiaomi's stock, including rising orders for its new electric vehicle, the SU7 Ultra, and potential new policies favoring smartphone sales. This shift reflects broader trends where electric vehicles and technology ecosystems increasingly intersect.
Lei Jun addressed the speculation surrounding his wealth, asserting through social media channels and during interviews, "the report of me briefly becoming the richest person is fake news." His public response demonstrates his awareness of the media's impact on perception, particularly within the financial community.
The Xiaomi 15 Ultra launch serves as both a celebration of technological advancement and the challenges of maintaining market dominance. Xiaomi's aggressive pricing strategy aims to challenge established giants, even as the company's stock performance reminds investors of the unpredictable nature of tech markets.
Facing steep competition, Xiaomi plans to invest 30 billion RMB over the next five years to bolster its research and development efforts, as announced by Lei Jun. The continued commitment to high-end products aims to differentiate Xiaomi not just as another smartphone maker, but as a lifestyle and technology ecosystem provider.
Despite small setbacks, analysts predict Xiaomi's stock and brand will continue to grow, especially as it introduces more products and ventures beyond phones.
Xiaomi's strategic focus on high-end smartphones combined with its burgeoning electric vehicle segment indicates ambitious plans for future growth. Lei Jun’s leadership and the market's reaction to the latest tech release highlight how innovation and perception shape the company's narrative within the fast-evolving technology industry.