Xiaomi's latest $5.27 billion move hints at a major threat to Apple and Samsung

Xiaomi is already one of the big players in the tech world, right behind Apple and Samsung in terms of global smartphone sales. Last year, it saw massive growth in the smartwatch market, too and it seems like the company is aiming to go even bigger in the near future.

According to a new report, the Chinese smartphone and EV maker is raising up to $5.27 billion through a top-up placement (a financial maneuver used by listed companies to raise capital). The funds are reportedly meant to fuel its expansion plans, boost research and tech development and cover general business needs.

Xiaomi's move comes as part of a larger trend among Chinese companies securing equity deals early in 2025. In fact, Chinese firms raised a total of $16.8 billion in equity issuance during Q1, more than double the amount from the previous year.

It looks like with the Chinese government easing its scrutiny of major tech companies and the rise of disruptive AI players like DeepSeek, global investors are now showing renewed interest in Chinese stocks.

Xiaomi recently announced plans to ramp up its presence both in China and internationally, with plans to open 10,000 new Mi Home stores outside its home country in the next five years. And I think this latest funding round clearly shows Xiaomi's big ambitions to expand its footprint and grab an even larger slice of the global market.