? Why do you think Gree Group invested 3.5 billion in Xiaomi?
On September 3, Gree Group signed a strategic cooperation agreement with Xiaomi Group and China CITIC Bank. The three parties agreed to carry out in-depth cooperation in industrial funds, financial services, industrial investment, project cooperation, and resource sharing.
a Gree Group is an international home appliance company integrating R&D, production, sales and service. It specializes in household air conditioners, central air conditioners, air-energy water heaters, mobile phones, etc.
Xiaomi Group is a global mobile Internet company focused on the research and development of smart hardware and electronic products. It is also an innovative technology company focused on the construction of high-end smartphones, Internet TVs and smart home ecological chains.
Gree Group invested 3.545 billion yuan to participate in the investment and management of Xiaomi Industry Fund initiated by Xiaomi Group. It has conducted in-depth layout around Xiaomi ecological chain and high-quality suppliers in integrated circuits, artificial intelligence, industrial Internet, core equipment, cutting-edge technology and other fields. With the help of Xiaomi
The Group’s rich accumulation in the industrial field and Gree Group’s capital and platform advantages as a state-owned capital investment and operation platform have deeply connected and introduced Xiaomi ecological chain enterprises, and introduced high-quality industrial projects in line with Zhuhai’s development strategy into Zhuhai through industrial investment to help Zhuhai accelerate
Create an intelligent manufacturing industry cluster to bring new momentum to Zhuhai's economic and social development.
b It is reported that it is Gree Group that invested heavily in Xiaomi this time, not Gree Electric Appliances, which is helmed by Dong Mingzhu.
Gree Group, which originally controlled Gree Electric Appliances, lost absolute control over Gree Electric Appliances in a previous capital operation.
Therefore, in fact, Gree Group and Gree Electric Appliances are no longer as closely connected as before, at least on the surface.
So some people speculate that since this Gree is not Bigeli, this will actually increase the competitive pressure on Gree Electric.
However this may not be the case.
It is reported that it is Gree Group that invested heavily in Xiaomi this time, not Gree Electric Appliances, which is headed by Dong Mingzhu.
Gree Group, which originally controlled Gree Electric Appliances, lost absolute control over Gree Electric Appliances in a previous capital operation.
Therefore, in fact, Gree Group and Gree Electric Appliances are no longer as closely connected as before, at least on the surface.
So some people speculate that since this Gree is not Bigeli, this will actually increase the competitive pressure on Gree Electric.
From the perspective of the home appliance industry, Gree Group’s abandonment of “appliances” and investment in “Xiaomi” reflects its value judgment of two different business models.
Judging from the current situation, Gree Group's high-priced transfer and cash-out at the end of last year seems to be a "smart move."
Observers in the home appliance industry said that compared to Gree Electric, Xiaomi has a more comprehensive smart home ecological chain with a wider range of categories, and has formed an industrial closed loop with a broader space.
c Because Xiaomi is also currently making home appliances such as air conditioners, this move will naturally help Xiaomi compete more fiercely with Gree in air conditioners.
And it is obvious that Xiaomi, which makes air conditioners, is more expert than Gree, which makes mobile phones.
Therefore, if this is the case, then for Gree, which already has this big "foreign trouble" of beauty, it will be like putting itself in an even worse situation.