Xiaomi waterproof camera
Xiaomi has teased the launch of a new product for the 2 March, which is clearly very small leading to some speculating that it will challenge GoPro with its own miniature waterproof camera Weibo/Xiaomi

Xiaomi, the Chinese startup valued at $45bn, will launch a mystery new product on 2 March which many believe will see it challenge the likes of GoPro with a miniature waterproof camera.

The company has posted a couple of teaser images on its Weibo social media account, the first showing a closed matchbox, with the second showing the match box open to mimic a suitcase containing clothes and crucially a pair of snorkelling goggles.

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This has led some to suggest the company will launch a tiny GoPro-like miniature action camera which will be waterproof. The teaser images say the new product will be unveiled on the 2 March.

The popularity of cameras like the GoPro have rocketed in recent years especially to capture extreme sports including skiing, mountain-biking and even parachute jumping.

GoPro announced plans earlier this year to expand into China where similar cameras sell for between £65 and £325.

If Xiaomi does launch an action camera, it would likely look to follow its pricing strategy for its other products by selling at a relatively low price.

Xiaomi is widely seen simply as a smartphone manufacturer, and the vast majority of its revenue comes from the same of its hugely popular Mi phones, but a better description for it is an internet company.

Xiaomi is positioning itself to become a ubiquitous presence in the lives of millions of Chinese consumers with its smartphone at the heart of an eco-system of products which will range from connected-home appliances like air conditioners to tablets, TV set-top boxes and headphones.