Xiaomi secured a $725,000 settlement after a court ruled AutoReport defamed its brand. Learn how this landmark case reshapes media lawsuits. Read more now.
On February 25, Xiaomi’s legal department announced a significant win in its defamation case against Chinese automotive media outlet AutoReport.
What Happened?
AutoReport, a prominent online source for automotive news in China, was found to have spread false and disparaging information that harmed Xiaomi’s brand image. The court determined that the outlet used multiple digital platforms to disseminate content that was not verified, contained inaccurate facts, and was clearly defamatory.
Court Ruling
The judgment ordered AutoReport to remove the offending material, issue a public apology, and pay Xiaomi a compensation of 5 million Chinese yuan – roughly US$725,000. This figure marks a record‑setting award in the history of media‑related lawsuits within the automotive sector.
Connections to the Wider Automotive Media Landscape
Public records show that AutoReport (autoreport.cn) is linked to Yiche.com, known internationally as Bitauto.com, one of China’s largest automotive information portals. Yiche.com was founded in 2000 by William Li, the entrepreneur behind electric‑car maker Nio. Notably, Xiaomi co‑founder Lei Jun was an early investor in Nio, highlighting the intertwined nature of China’s tech and automotive ecosystems.
Why This Case Matters
While car manufacturers have previously sued independent content creators for defamation, this is the first time a major media organization has been hit with such a large settlement. According to CarNewsChina, the trend of automakers seeking compensation from media outlets continues, but the scale of this award sets a new benchmark.
Implications for the Industry
- Brand protection is now a legal priority: Companies like Xiaomi are demonstrating a willingness to defend their reputation through the courts.
- Media outlets face higher scrutiny: The ruling underscores the importance of fact‑checking and responsible reporting, especially in fast‑moving sectors such as automotive technology.
- Potential ripple effect worldwide: International firms observing this case may reconsider how they manage media relations and defamation risks in China and beyond.
Xiaomi reiterated its commitment to safeguarding its legal rights and said it will continue to pursue any further violations of its brand integrity.