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Tim Culpan

Xiaomi Is the China Trump Needs to Watch

The smartphone maker is challenging U.S. chip technology with government support.

If you want an example of the threat faced by the U.S. from an emerging China, look no further than Xiaomi Corp.

The electronics manufacturer has made the bold move into designing its own smartphone chips. Of the vast variety of semiconductors that reach the market every year, it's those processors used in mobile phones that are among the trickiest to master. Difficulty wasn't a deterrent when Xiaomi rewrote the smartphone business model by selling direct to consumers online, so there's no reason for it to be a hindrance now.