Xiaomi CEO Lei Jun launches

To Take On Tesla, Xiaomi Tore Down Three Model Ys Piece by Piece — Then Built a Rival EV

Xiaomi’s CEO Lei Jun has confirmed the company purchased and completely disassembled three Tesla Model Y vehicles earlier this year to study them in detail. The move was part of the development strategy behind Xiaomi’s upcoming YU7 electric SUV, which Lei says was designed to match — or even surpass — the Model Y in key areas.

A black Tesla Model Y

Tesla’s Discounted Model Y: Here’s What You’re Giving Up for the Lower Cost

Tesla is preparing to launch a stripped-down version of its popular Model Y, internally known as E41, targeting customers with tighter budgets. The move marks a departure from the brand’s premium image, introducing a no-frills version that trims numerous comfort and tech features to lower manufacturing costs.