Archive · 25 Aug 2026
Xiaomi Expands Chipmaking With Xring O3 and TSMC
Xiaomi has announced a new smartphone chip called the Xring O3.
It is designed to handle computing, graphics, artificial intelligence and camera tasks in one part.
TSMC is expected to make it using a very small 3-nanometre process.
Xiaomi may use the chip in a new high-end folding phone.
The company hopes making its own chips will give it more control and reduce its dependence on Qualcomm and MediaTek.
Xiaomi says more than 1 million devices using its older Xring O1 have shipped.
However, sources say about 150,000 smartphones using the O1 were sold, which is a smaller number because Xiaomi's figure includes tablets and watches.
Xiaomi also announced chips for its MiMo AI model and autonomous-driving systems.
Xiaomi unveiled the Xring O3, its second proprietary smartphone processor after the Xring O1.
TSMC is expected to manufacture the O3 using 3-nanometre technology, and Xiaomi says the chip has entered mass production.
The O3 may power Xiaomi’s upcoming flagship foldable phone, with a reported shipment target of 200,000 to 300,000 units.
Xiaomi said devices using the O1 surpassed 1 million cumulative shipments, while sources estimated about 150,000 O1-powered smartphones were sold.
Xiaomi also announced the 6-nanometre Xring O100 for its MiMo AI model and the 3-nanometre Xring D100 for autonomous driving.
- Who
- Xiaomi unveiled the Xring O3; TSMC is expected to manufacture it.
- What
- Xiaomi introduced a new in-house smartphone processor and announced two additional Xring chips.
- When
- The announcement was made on Monday, about a year after the Xring O1 was launched; the O1 debuted in May 2025.
- Where
- Xiaomi made the announcement in Beijing, China; TSMC is expected to manufacture the O3.
- Why
- Xiaomi aims to strengthen supply-chain control, differentiate its products and reduce reliance on external suppliers such as Qualcomm and MediaTek.
Xiaomi’s stated strategy
Market concerns and source-based reservations
In-house chip development
Xiaomi’s stated strategy
Xiaomi says proprietary chips can strengthen supply-chain control, help differentiate its products and reduce reliance on Qualcomm and MediaTek.
Market concerns and source-based reservations
The strategy requires major investment as Xiaomi faces weaker smartphone demand and rising memory and component costs.
Xring O1 adoption
Xiaomi’s stated strategy
Xiaomi reported that devices powered by the O1 had surpassed 1 million cumulative shipments.
Market concerns and source-based reservations
Sources estimated only about 150,000 O1-powered smartphones had been sold since launch; this narrower figure excludes the tablets and watches included in Xiaomi’s total.
Foldable-phone expansion
Xiaomi’s stated strategy
Using the O3 in a flagship foldable could help Xiaomi expand in the premium smartphone segment.
Market concerns and source-based reservations
Huawei shipped 1.6 million foldable phones in China in the second quarter and held 68% of the market, while Honor held 13.7% and Oppo 8.5%, indicating strong competition.
- New processor
- Xring O3
- Manufacturing
- TSMC is expected to produce the O3 using 3-nanometre technology.
- Potential device
- Xiaomi’s upcoming flagship folding phone
- Reported foldable-phone target
- 200,000 to 300,000 units
- Xring O1 shipments
- Xiaomi said devices powered by the O1, including smartphones, tablets and watches, surpassed 1 million cumulative shipments.
- Alternative O1 estimate
- Sources estimated that about 150,000 smartphones using the O1 had been sold since May 2025.
- Additional chips
- The Xring O100 is a 6-nanometre neural-processing unit for Xiaomi’s MiMo model, while the Xring D100 is a 3-nanometre autonomous-driving chip.
- Chip deployment
- Xiaomi says the O3 has entered mass production; the O100 and D100 are slated for deployment next year.
