Xiaomi Corp on Thursday unveiled the official pricing for its high-performance electric car, the SU7 Ultra, starting at 529,900 yuan ($73,000), after the Chinese technology company made a splash in the crowded car market last year.

The move came as Xiaomi announced its ambitious research and development plans for 2025, with a budget exceeding 30 billion yuan.

Lei Jun, chairman and CEO of Xiaomi, said the SU7 Ultra, which began pre-sales on Oct 29, was initially priced at 814,900 yuan, and that the company decided to significantly lower its price so more people can afford it.

And he said Xiaomi is confident about its burgeoning car business.

Its first vehicle, the SU7, has garnered 248,000 locked orders since its launch nine months ago and 135,000 of the vehicles have already been delivered.

At the product launch event in Beijing, Lei also revealed that a quarter of its 30 billion yuan R&D investment plan will be allocated to artificial intelligence and related technologies.

During the next five years, Xiaomi expects to invest a total of 105 billion yuan in R&D, underscoring its commitment to innovation and technological advancement.

The Xiaomi 15 smartphone, which was launched last year, has also achieved significant success and Lei noted that it has driven substantial growth in sales and market share.

"We have maintained our position as one of the top three global smartphone brands for over a dozen consecutive quarters," he said.

According to data from January 2025, Xiaomi has risen to become the second-largest smartphone brand in China, capturing 16.8 percent of the market share. Huawei leads the market and Vivo, Oppo, and Apple are in third, fourth, and fifth places, respectively.

Analysts from the market research company Omdia highlighted that the launch of the Xiaomi SU7 Ultra marks Xiaomi's official entry into the high-performance automotive market, showcasing its rapid development and strong engineering capabilities in key automotive sectors.

In the fourth quarter of 2024, Xiaomi's share in the premium smartphone market, which relates to devices priced above $600, grew in China from 5 percent to 6 percent, with shipments increasing by 4 percent year-on-year, to 1.5 million units, outperforming the overall market, Omdia said.

Xiaomi's strategic focus on innovation, coupled with its expanding presence in both the smartphone and automotive markets, positions the company as a formidable player in the global technology industry. With its latest offerings and substantial R&D investments, Xiaomi continues to push the boundaries of technology and redefine industry standards, analysts added.