China's electric car industry is rapidly expanding, and companies are fighting to remain competitive. With the Shanghai Auto Show kicking off last week, electric car startups and tech companies alike made major announcements about their driver-assist technology, sparking the interest of Chinese consumers.
Huawei Offers Driver Assistance System: Huawei ADS 2.0
McKinsey estimates that assisted and fully autonomous driving systems in passenger cars could bring in a staggering $300 billion to $400 billion in global revenue by 2035. Companies were quick to take advantage of this promising market.
According to the story by CNBC, Huawei announced its upgraded driver assistance system, called "Huawei ADS 2.0," which costs 36,000 yuan ($5,218) on a one-time basis or 7,200 yuan annually and is initially available for the Aito M5.
Xpeng Beating Tesla in Driver-Assist Technology Roll-Out in China
Additionally, Li Auto is offering driver-assist technology to customers in 100 cities in China as of the end of this year - free of charge. Xpeng, meanwhile, has already rolled out its driver-assist technology to some of its customers in Shanghai, earlier reported in an article by SCMP, boasting that it requires the driver to keep their hands on the wheel.
At the same time, the vehicle can take itself from destination to destination in the city, including stopping at traffic lights. However, Tesla, the leader in driver-assist technology, does not offer its "Full Self Driving" feature for Chinese cities.
The Race to Create Driver-Assist and Driverless Features for Chinese Cars
Maxwell Zhou, CEO of autonomous driving software startup DeepRoute.ai, noted that companies have only until next year to offer driver-assist tech. Otherwise, they risk being completely out of the competition.
As more and more companies scramble to include driver-assist and driverless features into their products, it remains to be seen just how powerful these features will be and whether Chinese consumers will want to buy the cars.
The Complexity of Autonomous Driving Regulations in China
Current regulation also limits how much companies can allow technology to control driving, contributing to the situation's complexity.
Tesla, whose Autopilot feature offers similar but more advanced capabilities, has only released their driver-assist tech on Chinese highways. A Chinese autonomous driving software startup called DeepRoute.ai commented that if competitors don't offer driver-assist tech by the end of the year, they will be unable to compete in the market.
Read Also: GM and Hyundai are Saddling Up With South Korean Companies for New EV Battery Plants
The Battle for Autonomous Driving Leadership in the Chinese EV Market
It's clear that the race to become the top driver-assist tech developer in the Chinese electric vehicle market is on, and the future of driver-assist and autonomous driving technology looks bright.
As regulations open up and allow for more autonomy, these companies can develop even more dynamic, efficient, and safe tech for both the local and global markets. As the battle for the best builds, we can only wait for the next decisions and announcements from the major companies in play.
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