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SU7 EV: Why did Xiaomi succeed where Apple failed?
On Thursday, March 28th, Chinese phone maker Xiaomi launched its first electric car, the SU7, positioning itself as a promising player in the EV industry. This comes just one month after Apple reportedly abandoned its Titan project, which aimed to develop a self-driving electric car.
So why did Apple fail where Xiaomi succeeded?
Ten years ago, Apple embarked on a project to build a self-driving car, incurring a cost of $10 billion. As with all its product launches, Apple sought to deliver a distinctive product that stood out from existing market offerings. This differentiation strategy has historically enabled them to achieve higher profit margins compared to their competitors.
In early 2024, Apple abandoned its project for a self-driving car without a steering wheel, acknowledging the significant challenges in achieving practical implementation. Despite advancements in artificial intelligence, fully autonomous vehicles appear to be further down the road than initially anticipated. This realization forced Apple to forego the unique selling proposition it envisioned for its car.
Xiaomi, on the other hand, took a different approach. They opted for an electric car with an automated assistant, avoiding claims of full self-driving capability. Instead, they…
