Xiaomi hits target for $1.4bn chip fund
The investment arm of Chinese consumer electronics producer Xiaomi has successfully raised RMB10bn (USD 1.4 billion) for a new fund to back companies innovating in integrated circuits.
The Beijing Xiaomi Intelligent Manufacturing Equity Investment Fund Partnership launched its project in March 2023 as part of an effort to counter US export sanctions. The scheme is being led by CEO Lei Jun, founder of the Chinese consumer electronics giant Kingsoft. Xiaomi is funding one third of the total and Kingsoft is providing around USD 72.3 million.
So for the last 18 months the project has been seeking further support to hit its USD 1.4 billion target. According to DealStreetAsia, that mission has been achieved. It reports that various entities backed by both the Beijing and Tianjin governments have committed around USD 133 million to the scheme. Backers include JoulWatt (Hangzhou) Technology, Southchip Semiconductor and private equity firm China Everbright’s Jintou Jinshun Fund.
The fund will look to invest in companies developing developing integrated circuits, new materials and display devices for semiconductor technologies related to AI, smart manufacturing and automotive electronics.
