Huawei invests $ 1 billion in electric vehicle technology and self-driving, claiming to have overtaken Tesla ‘in some areas’

“Huawei’s self-driving technology has surpassed Tesla’s in several areas, for example by allowing cars to travel more than 1,000 km without human intervention , “ rotating chairman Eric Xu. shared with analysts in Shenzhen today 12/4.

Mr. Xu, one of the three who will take turns taking over as CEO of Huawei Technologies, said the Chinese telecommunications giant will partner with three carmakers to produce self-driving cars and it. will carry the Huawei name as a sub-brand. This will keep the circle of partners small and allow the company to get its logo on cars by adopting autonomous driving technology. Currently, Huawei has agreed to cooperate with Chinese car companies BAIC Group, Chongqing Changan Automobile and Guangzhou Automobile.

BYD introduced the first vehicle to use the Huawei HiCar system in February.

“The smart car business receives one of the biggest investments from Huawei. We will invest more than $ 1 billion in car component development this year,” Xu said. “China will add 30 million more cars a year and the number is growing. Even if we don’t tap the market outside of China, if we can make an average of 10,000 yuan from for every car sold in the domestic market, that’s already a huge business for Huawei. “

Huawei is emerging from the toughest point in history, when previous Trump administration sanctions stifled its flagship smartphone business and hampered advances in chip manufacturing and 5G network. Biden’s current administration also shows no signs of abandoning barriers, prompting Huawei founder Ren Zhengfei to direct his group to new growth areas such as smart agriculture. health care and electric car. Huawei is hoping to have a seat at the same table as other tech giants, who are also competing to determine market share in rapidly growing sectors like connected vehicles, homes, and workplaces. job.

Huawei aims to be a counterbalance to tech giants from Apple to Xiaomi in targeting the car industry, betting on future cars to evolve. Green direction, autonomy and connection.

Research firm Canalys estimates that electric vehicle sales in China could grow by more than 50% this year as consumers embrace a wave of cars that use cleaner energy and at reduced costs. Huawei’s infotainment and information systems can now be found in Mercedes-Benz sedans. The company has also partnered with domestic car manufacturers to develop systems for smart cars. The first model to cooperate with Chinese electric vehicle manufacturer BAIC, Arcfox αS HBT, will be launched at Auto Shanghai this month.

Huawei is focusing on self-driving technology for cars.

“I don’t know if they brag or not, but my team says their cars can drive themselves without human intervention for 1,000 kilometers. That’s clearly better than Tesla,” Xu said. .

But the challenge that Huawei faces is moving into an already crowded arena where a host of automakers from Tesla to emerging Chinese companies like Nio and Xpeng are fighting. work hard to grab a share of the world’s largest electric vehicle market. Xiaomi – famous for its low-cost appliances and home appliances from rice cookers to vacuum cleaners – also announced plans to invest about $ 10 billion over the next 10 years in electric car manufacturing last month. Search group Baidu and Geely Automobile Holdings are also reportedly working together to make electric cars.

Refer to SCMP