Xiaomi to invest $1b to expand Internet TV content in new push
China's Xiaomi Technology Co said on Tuesday it would spend $1 billion to expand its Internet TV content as the world's third-largest smartphone maker ramps up its push into the living room, and a market estimated to be worth $3 billion.
In a post on its official Weibo microblog, Xiaomi said it had hired Chen Tong, a former executive at Chinese Internet firm Sina Corp, to overhaul the TV business and make it more "diverse and exciting."
"We want to repeat the success of Xiaomi's hardware integration model in the television industry," Chen said at a press conference, according to Xiaomi's microblog. The company did not provide further details.
Chen Tong was the former executive vice president and editor-in-chief of Sina Corp, the operator of Chinese Web portal sina.com.cn.
Chen will serve as Xiaomi's vice president, responsible for content investment and operation.
According to Xiaomi founder and CEO Lei Jun's Sina Weibo post on Tuesday, Xiaomi would inject $1 billion into the business section overseen by Chen Tong.
Xiaomi's expansion of its Internet TV business pits it against local Internet companies including Alibaba Group Holding, Tencent Holdings and Baidu Inc, all of which have recently increased their investment in Internet TV, a market Chinese consultancy iResearch says is estimated to be worth $3 billion in 2014.