Everbright Securities released a research report highlighting Xiaomi-W's (01810) "Human-Vehicle-Home Full Ecosystem" Partner Conference held on December 17, 2025. The event showcased breakthroughs in large-scale AI models, deeper ecosystem synergy, and an expanding open ecosystem. The report emphasized Xiaomi's AI strategy as a long-term endeavor rather than a short-term sprint, with a focus on self-developed chips, HyperOS, and foundational AI models. The "Human-Vehicle-Home" ecosystem is expected to provide fertile ground for large-scale AI applications, reinforcing the firm's "Buy" rating.

**Mimo-V2-Flash Model: Speed and Cost Efficiency** Xiaomi unveiled its next-gen foundational model, Mimo-V2-Flash, featuring: 1) **Performance**: With a lightweight design (309B total parameters, 15B active parameters), it ranks Top 2 globally in code and Agent capabilities, surpassing models like DeepSeek V3.2 and Kimi K2-Thinking despite their larger parameter counts. 2) **Architecture**: The Hybrid SWA (Sliding Window Attention + Full Attention) structure, optimized with 3-layer MTP inference, achieves 2.0–2.6x faster processing, handling 5,000–15,000 tokens/sec per machine and 115–150 tokens/sec per request. 3) **Efficiency**: Mimo-V2-Flash offers 3x the speed of DeepSeek V3.2 at similar costs and 1/20th the cost of Gemini 2.5 Pro at comparable speeds, addressing scalability challenges for real-time "Human-Vehicle-Home" interactions. 4) **Open-Source**: The model is fully open-sourced, with APIs and a demo web portal to engage global developers, fostering a feedback loop for iterative improvements.

**Hardware Ecosystem: Scale and Synergy** Xiaomi’s global hardware platform spans 1.8B connected devices, including 740M monthly active smartphone users, 1B+ IoT devices, and 500K+ delivered vehicles. Its CarIoT ecosystem supports 30+ aftermarket accessories, enabling cross-scenario integration (personal, mobility, home). This scale positions Xiaomi to leverage AI across diverse applications and data streams.

**Software Infrastructure: HyperOS 3 and Developer Tools** 1) **HyperOS 3 (Aug 2025)**: Upgrades include: - **App Integration**: "Super Island" connects 60+ apps across 70+ scenarios, with 128M installations. - **Cross-Platform Sync**: 410M daily active users, 270M daily interactions, seamless Apple/Windows interoperability (e.g., cloud album sync, device unlocking). - **AI Adoption**: System-level AI reaches 120M monthly users (phones/tablets), 65M daily uses. "Super XiaoAI" enhances Q&A, context awareness, and one-tap actions. - **Security**: Streamlined permissions support cross-Android compatibility for secure AI deployment.

2) **Auxiliary Tools**: - **Vela OS** powers 160M smart devices, with 100+ open-source partners, enabling lightweight AI from IoT chips to automotive MCUs. - **MINT Platform** integrates 3.9T data and 20+ algorithms, accelerating high-complexity AI deployments (e.g., smart door locks, robotic vacuum obstacle avoidance).

**Financial Outlook & Risks** Xiaomi plans RMB 200B+ in R&D over five years (RMB 40B in 2026). Everbright maintains 2025–27 Non-IFRS net profit forecasts of RMB 42.6B/43.8B/51.0B. Risks include smartphone sales pressure, IoT margin shortfalls, and slower AI expansion.