Key Takeaways
- Xiaomi took 88,898 orders for its new SU7 in just 24 hours.
- The base model could take 18-21 weeks to deliver while the pricier version might take 27-30 weeks.
- Despite delays, Xiaomi’s cash reserves and tech expertise give it a better chance of success.
Xiaomi recently launched its first electric vehicle, making it the first smartphone company to have its own car. The Chinese automaker took an incredible 50,000 orders in the first 30 minutes of sales. At a price of about $30,000 (converted from yuan), it’s less than the Tesla Model 3 by a few thousand dollars. That low pricing made it an instant hit, but customers are going to have to wait before they get the cars they ordered.
By the end of the first 24 hours, sales hit 88,898 units, which is more than the company can make in a reasonable amount of time. Depending on the model, it could be quite awhile before those orders are delivered.
Years Not Months
The base model may take as long as 18 to 21 weeks to arrive. The most expensive model will take even longer with an estimate of 27 to 30 weeks before delivery. That’s a mighty long wait, but it’s not unprecedented for customers to wait a long time for highly desirable cars.
Tesla is infamous for taking deposits, setting a delivery date, and then having nothing even close to a production version until months later than initial expectations. The Cybertruck started delivery in late 2023 even though it was promised for 2021. At least Xiaomi is being up front with customers and telling them now that it’s going to be years before they get their cars.
It’s tough for any new company to make a go selling cars. Just look at Fisker’s rapid decline over the last few weeks. It, too, had trouble getting cars to its customers and is running out of the cash it needs to stay in business.
Xiaomi has an advantage many other EV startups lack, with deeper cash reserves and tech expertise thanks to its smartphone business. If customers are willing to wait, there’s a good chance Xiaomi will deliver – eventually.
