Xiaomi Rolls Out RMB 1 Billion in Subsidies to Offset Memory Price Hikes for the Redmi Turbo 5 Series

As 2026 begins, the pressure from rising memory prices is no longer confined to semiconductor earnings reports. It is now being transmitted step by step along the supply chain, translating into tangible cost increases for every smartphone, PC, and other smart devices produced.

According to data from Counterpoint, LPDDR5 used in smartphones and other mobile devices rose by 10%–15% in the third quarter of 2025, followed by a sharp surge of 45%–50% in the fourth quarter. LPDDR4 saw even steeper increases, climbing 35%–40% in the third quarter and 50%–55% in the fourth quarter of 2025.

Memory plays a critical role in the cost structure of smartphones. IDC reports show that memory accounts for roughly 15%–20% of the bill of materials (BOM) for mid-range devices, and around 10%–15% for high-end flagship models. As memory prices continue to soar, OEMs are increasingly forced into difficult choices: raising prices significantly, cutting configurations, or doing both at the same time.

In response, Lu Weibing, Partner and President of Xiaomi Group, noted that after the K series moved upmarket and began targeting the premium segment, the Redmi Turbo series has taken on the responsibility of defending the highly competitive RMB 2,000–3,000 price range. However, the ongoing surge in memory prices has intensified industry-wide challenges, pushing manufacturers to choose between higher prices and reduced specifications—directly undermining the value-for-money foundation of the mid-range market. For him, this represents not only a challenge for the Turbo series, but also a crucial stress test.

On January 29, Xiaomi officially launched the REDMI Turbo 5 series, comprising the REDMI Turbo 5 and the REDMI Turbo 5 Max. The standard version is powered by the Dimensity 8500-Ultra processor, while the Max version features the flagship Dimensity 9500s chip. Both models come standard with LPDDR5X memory.

Beyond performance, alleviating battery anxiety has become a major battleground for leading smartphone brands since last year. Manufacturers have increasingly competed on battery capacity and endurance, with some models pushing battery sizes to as high as 10,000mAh—redefining the upper limits of smartphone battery capacity.

In terms of endurance, the REDMI Turbo 5 is equipped with a 7,560mAh Xiaomi Jinshajiang battery, using a 16% silicon-carbon anode solution and achieving an energy density of up to 877Wh/L. The REDMI Turbo 5 Max goes even further, debuting Xiaomi’s largest-ever Jinshajiang battery at 9,000mAh.

On pricing, the REDMI Turbo 5 Max is available in four configurations—12GB+256GB, 16GB+256GB, 12GB+512GB, and 16GB+512GB—with introductory prices of RMB 2,199, RMB 2,499, RMB 2,499, and RMB 2,799 respectively. With national subsidies applied, prices start from RMB 1,869.15.

The REDMI Turbo 5 also comes in four configurations—12GB+256GB, 16GB+256GB, 12GB+512GB, and 16GB+512GB—priced at RMB 1,999, RMB 2,299, RMB 2,299, and RMB 2,599 respectively during the launch period, with subsidized prices starting from RMB 1,699.15.

Despite the sharp rise in memory costs, the REDMI Turbo 5 series has achieved what Xiaomi calls “more for the same price” compared with the previous REDMI Turbo 4 generation.

Addressing this at the launch event, Wei Siqi, General Manager of Xiaomi China’s Marketing Department, explained that Xiaomi has allocated RMB 1 billion in subsidies specifically to offset memory costs for the Turbo series—particularly for the 512GB high-capacity variants.

Wei noted that as R&D efficiency and cost structures across major brands have largely converged, Xiaomi’s relatively lower spending on advertising and channel distribution has become a key competitive advantage. However, rising market prices for components such as memory have significantly compressed the room to pass on these savings, meaning the actual benefit to consumers is limited to around RMB 100.

“I’m extremely grateful for the company’s strong support for my first REDMI product launch,” Wei said. “Xiaomi has set aside RMB 1 billion specifically to support the Turbo series, with a particular focus on the 512GB large-memory models.”