Xiaomi Expands Its "Smartphone–Car–Home" Ecosystem, Accelerating Transformation in the Automotive Aftermarket

On the evening of June 26, 2025, Xiaomi Auto reached a major milestone with the official debut of its first SUV — the Xiaomi YU7. Even before its release, the YU7 had already drawn widespread attention. Launched at a starting price of ¥253,500, the SUV set stunning preorder records: over 200,000 units were ordered within the first 3 minutes, and the number surged to 289,000 within just one hour.

During the nearly three-hour-long Xiaomi launch event, the spotlight wasn’t only on the YU7. Xiaomi also continued to expand its “Smartphone–Car–Home” ecosystem, unveiling several new smart ecosystem products that drew significant attention.

The newly added threaded power ports on both the driver and passenger sides now support up to 27W output and come with three accessories, making it convenient to power devices such as action cameras and smartphones during installation. The vehicle is equipped with nine magnetic mounting points throughout the cabin, allowing for the placement of compatible magnetic accessories such as tissue boxes, glasses cases, and physical buttons. The center console screen has also been upgraded with a new in-car magnetic wireless phone holder. The rearview mirror mount has been expanded to support a 4K gimbal camera and an AI spatial interaction sensor; the back panel of the front seats now supports the newly released Xiaomi Pad 7S Pro. The rear ceiling also features an expandable design, with the roof rail kit’s power module supporting 100W dual Type-C output. Rail-mounted lights can be used for rear seat lighting, and the system also supports connecting an outdoor projector for camping. In addition, the roof can be extended with horizontal crossbar luggage racks.

This latest expansion of Xiaomi’s “Smartphone–Car–Home” ecosystem continues to leverage one of Xiaomi Auto’s core strengths — the ability to develop automotive peripheral products through its extensive ecosystem of affiliated companies. For Xiaomi, a wide range of peripheral products enhances overall profitability; for car owners, official extension accessories improve everyday convenience; and for the industry, the “Smartphone–Car–Home” ecosystem is accelerating the transformation of the automotive aftermarket.

In the traditional automotive aftermarket business model, the involvement of original equipment manufacturers (OEMs) is not as extensive as in the “front market.” Services related to vehicle modifications, accessories, and maintenance are typically provided by third-party companies, with little direct connection to the OEMs. In other words, after purchasing a new vehicle, the relationship between the OEM and the car owner often becomes that of “familiar strangers.”

Under this model, OEMs have almost no participation in the aftermarket industry and find it difficult to secure a share of the profits.

Xiaomi’s “Smartphone–Car–Home” ecosystem appears to be changing this model. With hundreds of established ecosystem partners ready to supply products, Xiaomi Auto not only benefits from seamless driver connectivity but also offers a wider range of official in-car accessories. Through these products, car owners can freely customize and personalize their vehicles, while Xiaomi gains additional revenue streams.

Rewinding to the Xiaomi SU7 launch event on March 28 last year, Lei Jun stated, “Tonight, we launched at least one hundred products.” These hundred products refer to the “Smartphone–Car–Home” ecosystem offerings. Focusing back on the vehicle itself, the biggest difference between the Xiaomi SU7 and other smart electric vehicles lies not in technology, configuration, or performance. Rather, the SU7 is not just a standalone car but serves as the core foundation of a product family. This model still holds true for the YU7, meaning Xiaomi Auto has changed the traditional separation between the car and the aftermarket, transforming the vehicle into a base platform from which a variety of accessories and services can be derived, thereby generating new revenue streams.

Notably, Xiaomi’s “Smartphone–Car–Home” ecosystem is not limited to Xiaomi vehicles alone. At the YU7 launch event, Xiaomi announced its collaboration with industry partners to build a more open and comprehensive “Smartphone–Car–Home” ecosystem. The first batch of partners includes BYD, GAC Toyota, and Zhengzhou Nissan. This means that in the future, “Smartphone–Car–Home” ecosystem products will appear across various car brands. In a sense, Xiaomi is also positioning itself as a player in the automotive aftermarket.