Beijing, Feb 20 (IANS): Soon after Chinese tech giant Huawei announced that it is partnering with Hicar & BAIC to develop a smart car, it seems Xiaomi is also planning on entering the same market.

According to an iFengNews report, multiple sources have recently stated that Xiaomi is planning to build its own car and is considering it as a strategic decision, but specific details and the path it aims to take are yet to be determined.

As far as project leadership is concerned, Xiaomi's current CEO, Lei Jun, will be directly heading it.

Back in 2013, Lei Jun had visited the US twice to meet with Tesla CEO Elon Musk and now it seems that its interest on the field has grown.

As per the report, the diversification arrives as the smartphone market faces stagnation. Furthermore, the electric smart vehicle market has been seeing a rise in popularity.

The Indian market has also seen a demand for smart vehicles, and auto companies like Tata, Mahindra and others are offering their electric vehicles.

Meanwhile, Apple is also working on an electric car and it is expected to be built on Hyundai's electric vehicle platform and the initial model could lead to new vehicles built in association with General Motors and European manufacturer PSA.