The South Korean firm and Chinese electronics company have claimed to have created the first ever sensor capable off producing images over 100MP,
The ISOCELL Bright HMX sensor, which will be able to deliver "unparalleled colour reproduction and stunning detail".
Yongin Park, executive vice president of sensor business at Samsung Electronics, said:"Samsung is continuously pushing for innovations in pixel and logic technologies to engineer our ISOCELL image sensors to capture the world as close to how our eyes perceive them.
"Through close collaboration with Xiaomi, ISOCELL Bright HMX is the first mobile image sensor to pack over 100 million pixels and delivers unparalleled colour reproduction and stunning detail with advanced Tetracell and ISOCELL Plus technology."
Production begins this month and the product could be on shelves by October.
Lin Bin, co-founder and president of Xiaomi, said: "We are very pleased that picture resolutions previously available only in a few top-tier DSLR cameras can now be designed into smartphones.
"As we continue our partnership, we anticipate bringing not only new mobile camera experiences but also a platform through which our users can create unique content."