The EV market is really too saturated. Smaller players in China will either have to give up, or look to be acquired by the bigger players.

The market is in dire need of some consolidation, the propping up by all the leadership in each state resulted in an overly rosy picture where everyone and their mother seemed to suddenly become EV makers.

If anything, I was surprised that Xiaomi chose to enter the field. I might not have kept up very closely, but I would assume they didn't do it from scratch. It would have been wise to acquire a smaller player with sound fundamentals and further build on it with the financial power that Xiaomi has.