In May 2025, Xiaomi officially announced that its independently developed second-generation 3nm mobile SoC chip "Xuanjie O1" has achieved mass production and will be installed in the high-end flagship model Xiaomi 15S Pro and the ultra high end OLED tablet Xiaomi Pad 7 Ultra. This progress marks that Xiaomi has become the fourth manufacturer in the world with the capability of self-developed SoC for mobile phones after Apple, Samsung and Huawei, and it is also the first enterprise in Chinese Mainland to break through the 3nm complex chip design.  

Technological breakthroughs and manufacturing paths

The Xuanjie O1 adopts the second-generation 3nm process technology, with a transistor count of 19 billion, benchmarking the international first-line level in energy efficiency ratio and performance density. The CPU architecture of this chip is based on ARM Cortex-X925, A725, and A520 cores, while the GPU adopts ARM Immortal-G925 or Imagination DXT72 solutions. Although there is controversy about whether the purchase of architecture is self-developed, the industry consensus is that integrating third-party IP cores and completing system level design is still within the scope of independent research and development. In terms of manufacturing, Chinese Mainland does not have a 3nm wafer mass production capacity at present, so the industry speculates that Xuanjie O1 may be OEM by TSMC, using its N4P enhancement process (close to the 3nm effect), or trial production by SMIC through multiple exposure technology, but the yield and performance stability of the latter are questionable. Xiaomi's absence from the US sanctions list provides a potential advantage for it to acquire TSMC's production capacity, but geopolitical risks still need to be vigilant.  

Strategic significance and market challenges

The core goal of Xiaomi's self-developed SoC is to break the industry's doubts about the lack of core technology and promote the brand's high-end transformation. Lei Jun clearly stated that over the next decade, he will invest more than 50 billion yuan to continue deepening chip research and development, in order to support the coordinated development of intelligent terminals and automotive business. However, the commercialization of Xuanjie O1 faces multiple challenges:

Supply chain coordination: It is necessary to balance the relationship between self-developed chips and Qualcomm's flagship platform to avoid product line conflicts;    

Performance verification: If the measured performance does not meet expectations, it may exacerbate consumers' trust crisis in Xiaomi's technological strength;

Public opinion pressure: The negative impact on the brand caused by the previous Xiaomi SU7 car accident needs to be offset through the successful release of chips.

Industry impact and risk prediction

The mass production of Xuanjie O1 marks China's chip design capability entering the international top tier, but its actual performance and market acceptance still need to be observed. If successful, it will accelerate the localization process of the domestic mobile phone supply chain; If it fails, it may expose the fundamental research and development shortcomings of Chinese companies in the high-end chip field. In addition, Xiaomi's "technological gamble" also reflects the breakthrough dilemma of Chinese technology companies in global competition - they need to break through technological barriers while also dealing with complex geopolitical and market risks.