BYD to use Huawei's autonomous driving system in its EVs
Chinese electric vehicle (EV) manufacturer, BYD, has entered into a partnership with tech giant Huawei. The collaboration will see the integration of Huawei's Qiankun autonomous driving system, into BYD's off-road-focused EVs. The first model from the Tesla rival to feature this innovative technology will be the Bao 8 SUV from the Fangchengbao range, set for release later this year.
Strategic move toward premium brands
The collaboration with Huawei is part of BYD's strategic shift toward its premium brands, including Denza, Fangchengbao, and Yangwang. This move aims to boost sales and enhance profitability. However, these three brands currently represent only 5% of the company's total sales in H1 2024, as per data from the China Association of Automobile Manufacturers.
Efforts to advance smart driving technology
BYD has been a dominant player in the EV market, largely due to its cost-effective strategy of producing key components like batteries in-house. Despite this, the company is still striving to keep up with competitors in enhancing smart driving features through internal development. Since last year, BYD has heavily invested in developing its own advanced driver assistance system (ADAS), hiring thousands of engineers for this purpose.
BYD's reliance on external suppliers
Despite its efforts toward in-house development, BYD continues to depend on external suppliers for intelligent features in its premium models. For instance, the firm uses Momenta ADAS in its Denza cars. The partnership with Huawei underscores this reliance while also highlighting Huawei's growing influence as a major ADAS supplier in the EV sector. Audi will also use Huawei's ADAS in its EVs for China.
