China’s Xiaomi invests $200 million into the “smart home”

Xiaomi launched an air purifier last week, and now the Chinese company is putting hard cash behind its smart home push after investing over $200 million in home appliance firm Midea. Xiaomi Inc., one of the Chinese firm’s group of technology companies, bought a 1.29 percent share of Midea Group, Midea’s Shenzhen-listed parent company, for RMB1.266 billion, that’s around $205 million.

Chinese smartphone maker has invested RMB 1.27 billion (US$200 million) into home appliance manufacturer Midea Group, according to a press release sent out by the former. Xiaomi will take a 1.29 percent stake in Midea. The two companies will cooperate on building their smart home ecosystem. That means Xiaomi products will likely integrate with Midea’s wide range of products, from refrigerators to air conditioners to washing machines. Midea sold 250 million home appliances in 2013. Prior to the deal, Midea already developed a handful of smart home products in the areas of nutrition, water, and energy, with about 25 on the market as of this year. Xiaomi says Midea’s strategy is in line with its own, so the two make a good fit.

Categorized as Technology

By Carl Durrek

Carl is a gaming fanatic, forever stuck on Reddit and all-around lover of food.

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