Huawei and Changan Automobile have announced a partnership to establish a new company focused on developing intelligent driving systems and components for smart connected vehicles. This collaboration will bring together Huawei's core technology and resources from its Intelligent Vehicle Solution business with Changan Automobile's investment, with an equity stake of up to 40%.
Joint Venture Details
The specific investment details, including the equity ratio, amount, and duration, will be finalized through further discussions between the two parties. This joint venture aims to target a wide range of smart car technologies, including automotive intelligent driving solutions, intelligent car cabins, smart car digital platforms, intelligent vehicle clouds, AR-HUD, and smart car lights. Huawei will contribute its expertise and assets in these areas to ensure the joint venture's technological prowess.
Independence and Business Model
Industry insiders view this partnership as a significant step towards the independence of Huawei's smart car unit. By establishing a separate entity, Huawei can attract additional investment and expertise from Changan Automobile, creating a more robust and sustainable business model. This move enables Huawei to further expand its presence in the automotive industry and accelerate the development of intelligent driving technologies.
Previous Collaboration and Launch of Avita
Huawei's partnership with Changan Automobile is not new. The two companies have collaborated closely in the past, leading to the launch of the EV brand Avita in November 2023. Avita's current lineup includes two models, the Avita 11 and the Avita 12, both equipped with Huawei's full suite of intelligent vehicle solutions. This successful collaboration serves as a foundation for the new joint venture and highlights the potential for future advancements in smart driving technologies.
A Transformative Journey
The partnership between Changan and Huawei signifies a new chapter in the automotive industry, driven by innovation, collaboration, and a shared vision for a smarter, more connected future. As these two companies embark on their transformative journey, we can anticipate groundbreaking advancements in smart driving technologies that will shape the future of mobility.
