Deutsche Telekom, MiMedia, Xiaomi: Three stocks benefiting from the cloud and AI revolution

Deutsche Telekom – A fresh start with momentum

After 14 years at the top, Chief Technology Officer Claudia Nemat is unexpectedly leaving the Company ahead of schedule. Her **successor will be the current CTO for Germany, Dr. Abdu Mudesir, who will assume his new position on October 1. The 43-year-old is considered the driving force behind key infrastructure projects ranging from large-scale fibre optic expansion and nationwide 5G rollout to the integration of AI into network management. His strong technical background and experience with future-oriented technologies such as Open RAN and cloud infrastructure make him the ideal candidate for the role. The internal appointment signals continuity and highlights the importance of technological leadership for the Company.

The latest quarterly figures underscore the Company's robust condition. Revenue growth of 6.5% and an increase in adjusted EBITDA AL of almost 8% demonstrate the Company's operational strength. The growth in free cash flow AL of over 50% is particularly impressive. Given this momentum, Telekom has raised its full-year forecast slightly and now expects adjusted EBITDA AL of around EUR 45 billion. Growth drivers remain diverse: T-Mobile US is scoring with strong customer growth, the European business is growing organically, and T-Systems is also recording rising order intake. However, the weak US dollar is weighing on future earnings.

Strategically, Telekom is setting clear priorities. The consolidation of all cloud activities under the "T Cloud" umbrella aims to offer business customers simple, scalable, and sovereign solutions from a single source. This is a strategic move to strengthen European digital sovereignty. At the same time, the Company is pushing ahead with AI initiatives. Partnerships with tech giants such as NVIDIA (industrial cloud) and Google Cloud (autonomous networks, SAP migrations) are intended to tap new efficiency potential and services. This focus on cloud consolidation and AI integration underscores the Company's claim to be not just an infrastructure provider, but a central digitalization partner. The stock has recently declined due to the weak USD and is trading at EUR 31.08.

MiMedia Holdings – Growth spurt through partnerships

MiMedia Holdings has positioned itself as a niche player in the cloud market, offering users cross-platform storage solutions for personal media. Unlike its major competitors, the Company relies on a white label approach. Through partnerships with smartphone manufacturers and telecom providers, the app solution is pre-installed on end devices. This strategy is paying off, as the app is currently contractually secured on at least 35 million devices. Cooperations in emerging markets, where low-cost alternatives to established cloud services are in demand, are particularly relevant.

Two partnerships stand out in 2025. With Walmart Latin America, MiMedia reaches over 18 million users in Mexico through its mobile brand "Bait." In addition, the Company secured placements on up to 5 million devices through a global deal with manufacturer Coolpad. Parallel to its operational expansion, MiMedia is strengthening its capital base by approximately CAD 3.9 million through a private convertible bond placement. Chris Giordano, CEO of MiMedia, said: "We are delighted to have secured this financing, as it provides us with the capital necessary to execute our planned implementations with telecommunications and OEM partners and their expected smartphone shipments, including in the US, Mexico, and Europe."

The model's strength lies in its low-threshold user acquisition. Pre-installation eliminates the need for expensive marketing campaigns. Each new partner not only brings immediate reach, but also opens up long-term monetization paths, such as direct advertising or licensing fees, and in the future, storage expansion subscriptions once the free storage has been used up. Time is therefore on MiMedia's side, and critical mass should soon be reached to achieve profitability. The existing contracts form a solid foundation for systematically converting user numbers into revenue. The share price has risen by almost 150% since the beginning of the year and, at CAD 0.62, is only slightly below its all-time high.

Xiaomi – More than just smartphones

Xiaomi is currently proving itself to be an agile player that thinks far beyond smartphones. New wearables, such as the Smart Band 10 with AI-supported functions, and updated smartphone models, ranging from affordable to premium, are keeping the core business dynamic. However, the real game changer is the consistent "Human x Car x Home" strategy. Over 944 million connected IoT devices, from air conditioners to routers, create a powerful ecosystem. The intelligent interconnection is crucial. The devices learn from each other, users become more loyal, and services such as music streaming and cloud storage generate recurring revenue with high margins.

The electric vehicle division is catapulting Xiaomi into new dimensions. With the sporty SU7 and the new SUV YU7, the Company is taking on Tesla & Co. head-on and striking a chord. Hundreds of thousands of pre-orders speak for themselves. Almost 20% of the Company's revenue already comes from the young electric vehicle business. At the same time, Xiaomi is pushing ahead with its own AI developments. Its in-house language model "MiMo" is designed to enable powerful AI directly on devices without the need for the cloud. At the same time, cloud AI is used for computationally intensive tasks such as professional image editing with AI Erase Pro. The integration of DeepSeek AI into HyperOS 2.0 turns voice assistants into clever everyday helpers.

The figures are impressive, with a 47% jump in revenue in the last quarter and a 65% increase in net profit. Over 70% of car buyers are already Xiaomi customers and go on to purchase smart home products more frequently. The vehicle is thus becoming a ticket to the ecosystem. However, caution is advised, as production bottlenecks for EVs, which have delivery times of up to 14 months, and global trade risks are stumbling blocks. The valuation is ambitious. For long-term investors, however, Xiaomi remains a fascinating piece of tech and ecosystem transformation, with a clear focus on AI, integration, and growth beyond mobile phones. The stock is currently available for EUR 6.26.

The cloud and AI revolution is creating clear winners. Deutsche Telekom is bundling infrastructure expertise with "T Cloud" and driving AI integration forward through partnerships with NVIDIA and Google. MiMedia is leveraging its white-label approach to acquire users and tap into new markets at a low cost through pre-installation on more than 35 million devices. Xiaomi is catapulting itself into new dimensions of growth with its connected ecosystem and electric vehicle successes, while AI innovations such as "MiMo" are increasing device intelligence. All three companies demonstrate how a strategic focus on cloud, AI, and scaling secures competitive advantages.