Investments in AI and green technologies: What Xiaomi’s ESG report brings

Xiaomi has published its eighth annual environmental, social and governance (ESG) report, in which it presents key data on investments in technology, data protection and progress in reducing environmental impact during 2025.

Focus on development and artificial intelligence

According to the report, Xiaomi invested RMB 33.1 billion in research and development in 2025, while employees in this segment make up 45 percent of the total workforce. The company says it is developing an AI system that combines basic models and models adapted to specific scenarios, with the aim of applying it to its “Human x Car x Home” ecosystem.

Three new artificial intelligence models were also presented – MiMo-V2-Pro, MiMo-V2-Omni and MiMo-V2-TTS. According to the data from the report, the MiMo-V2-Pro model shortly after its launch took first place in terms of weekly calls on the OpenRouter platform and a high place in the ranking of the Artificial Analysis Intelligence index.

In the context of the regulation, Xiaomi refers to the European guidelines for the development of reliable artificial intelligence and also applies principles related to ethics, security and privacy in the development of AI systems.

Data security and privacy

The company states that its systems and processes are certified according to the ISO 27001 and ISO 27701 standards, which relate to the management of information security and privacy.

The report highlights the development of MiTEE’s own security operating system, which works in an isolated environment on the device. The goal, they say, is to ensure that sensitive data such as biometrics, payment data or digital keys do not leave the device.

Xiaomi also states that it globally processes user requests related to personal data within 15 days, which is shorter than the deadline stipulated by the GDPR regulation.

Recycled materials and circular economy

The report also provides data on the use of recycled materials. For example, certain smartphone models use aluminum obtained entirely from recycling, while the charger housings include 30 percent recycled plastic.

In the segment of electric vehicles, it is stated that the share of recycled aluminum is 14.2 percent for the Xiaomi YU7 and 19 percent for the Xiaomi SU7.

The company also emphasizes the reduction of material consumption in packaging, for example in refrigerators where the use of expanded polystyrene has been reduced, and the development of charging technology with very low consumption in the idle state.

During 2025, more than two million smartphones were recycled through exchange programs, and the programs were expanded to a total of 24 markets.

Energy efficiency and emissions

In the part related to climate change, Xiaomi states that it aligns its activities with the goal of limiting global warming to 1.5 °C, defined by the Paris Agreement.

Xiaomi Smart Factory and Xiaomi EV Factory are certified according to the ISO 50001 standard for energy management. In the EV factory, a system of regenerative thermal oxidation was introduced, which, in addition to processing exhaust gases, returns thermal energy to the production process.

The company also cites electrical energy savings thanks to production optimizations and the reduction of CO₂ emissions through changes in logistics, including the transition from air to sea and rail transport.

In 2025, Xiaomi procured more than 40 million kWh of electricity from renewable sources, with a plan to cover part of the consumption by 2026 with energy from its own photovoltaic systems.

By Editor