On Monday, July 4, Xingji Technology completed the purchase of a 79.09% stake in Meizu, Reuters informed.
Xingji Technology is an enterprise run by Geely Chairman Eric Li. The company was established in 2021 to promote the automotive manufacturer to the premium smartphone market.
Meizu, a Chinese consumer electronics company with almost twenty years of history, has become famous for its low-cost Android smartphones. However, in recent years, Meizu has been overshadowed by its Chinese competitors and now occupies a negligible market share.
Shen Ziyu, chairman of Meizu and vice chairman of Xingji Technology, said companies will be able to successfully attract customers by offering differentiated smartphone models, especially premium ones. Meizu will formally remain an independent brand, but will work closely with Geely in areas such as software.
According to Reuters, Geely's entry into the smartphone sector is due to Chinese consumers demanding more smart technology from their cars. For example, the ability to use mobile applications from the dashboard of a car. This is also due to the fact that the smartphone industry is struggling to grow both in China and globally.
