Xiaomi is reportedly set to launch its own chip in 2025. According to DigiTimes, this chip will use TSMC's 3nm technology and will reduce the company's dependence on Qualcomm and MediaTek chips in the near future. Since it is a 3nm chip, it is likely that this chip will be used in flagship chips such as the Xiaomi 16 series.
This is not the first time Xiaomi has launched its own chip. In 2017, they released the Surge S1 which was later used in the Mi 5c smartphone. They later released the Surge C1 chip specifically for photography and the Surge P1 which manages power.
China is developing its semiconductor industry and the production of its own chips by local companies is expected to drive innovation. Previously, Huawei produced its own chips but after restrictions were imposed four years ago, their efforts have been severely affected and are now two generations behind.