Who is Lei Jun and Why Does His Charity Work Matter?

Lei Jun, founder of Chinese tech giant Xiaomi, is not just a billionaire businessman. In 2024, he was named to Forbes Asia’s “Heroes of Philanthropy” list alongside other influential figures like Li Ka-shing. Lei Jun Charity Philanthropy work combines smart business strategies with a focus on technology and education. Let’s break down how he does it.

Lei Jun Charity  Strategy（ The Big Picture）: Donating Shares and Setting Up Overseas Foundations  

Step 1: Giving Away Billions in Xiaomi Shares  

When Xiaomi went public in Hong Kong in 2018, Lei Jun received 640 million shares as a reward. Instead of keeping them, he promised to donate these shares to charity.  

By 2021, he had transferred 616 million shares (worth $2.2 billion at the time) to two foundations he set up in Hong Kong:  

Xiaomi Foundation Limited

Lei Jun Foundation Limited

Both are tax-exempt charities, and Lei Jun leads them as chairman.  

Step 2: Record-Breaking Cash Donations

In 2023, Lei Jun donated 1.3 billion RMB ($180 million) to his alma mater, Wuhan University, through his Hong Kong foundation. This set a new record for personal cash donations by a Chinese university alumnus. Combined with earlier gifts, he has given the university nearly 1.5 billion RMB ($210 million).

Xiaomi’s Charity Arm: Tech, Education, and Disaster Relief

Beijing Xiaomi Foundation 

Beijing Xiaomi Public Welfare Foundation was donated and initiated by Xiaomi Group, approved by the Beijing Municipal Civil Affairs Bureau, and established on February 3, 2019, with an original fund of RMB 10 million yuan, as a local non-public fundraising foundation. In previous events such as the epidemic in many places and the Henan rainstorm, the Xiaomi Foundation has sent material and financial support, and has set up a variety of scholarships in education.

On March 1, 2024, Lei Jun said in a microblog post that the millet public welfare foundation today donated 100 million yuan to the National Natural Science Foundation of China to fund young students’ basic research projects and support undergraduates to carry out basic research. On September 25, the Xiaomi Public Welfare Foundation issued a letter announcing that it was planning to donate 720 million yuan to set up a series of special funds to support basic research, applied basic research, and the construction of scientific research personnel.

In 2019, Xiaomi started its own charity in mainland China. Key projects include:  

– Youth Scholarships: $70 million to support students.  

– Science Research Funding: $70 million for tech innovation.  

– Disaster Relief: Donations during COVID-19 and floods.  

By 2024, Xiaomi’s foundation has donated over 1.7 billion RMB ($240 million).  

Why This Works for Xiaomi  

– Brand Reputation: Charity projects align with Xiaomi’s image as a tech leader.  

– Government Relations: Supporting education and science helps build trust.  

– Talent Recruitment: Scholarships attract future engineers to join Xiaomi.  

Lei Jun says: “Technology and education fuel progress. Helping young talent grow benefits everyone.”

Smart Charity: Business and Social Good Hand in Hand

Tax Savings and Global Flexibility

By donating shares through Hong Kong foundations, Lei Jun:  

– Avoids heavy taxes in mainland China.  

– Uses global rules to ensure donations are spent properly.  

Long-Term Strategy

– For Xiaomi: Charity boosts its ESG (Environmental, Social, Governance) scores, appealing to investors.  

Key Lessons from Lei Jun Charity

— Use What You Have

   Donate shares or products (like Xiaomi phones for disaster zones) instead of just cash.  

–Think Global

   Set up foundations in places like Hong Kong for tax benefits and flexibility.  

–Align Charity with Business

   Xiaomi’s focus on tech education trains future customers and employees.  

–Be Transparent

   Regular reports on donations build public trust.  

Why This Matters to the World

Lei Jun charity model shows how tech leaders can turn profits into social impact. From scholarships to AI research funding, his work proves that smart charity isn’t just about giving money—it’s about creating systems that help people and businesses grow.