Core Insights - Volkswagen AG has fallen to third place in China's auto market, overtaken by Geely Automobile Holdings Limited, marking a significant decline for the German automaker in the world's largest vehicle market [1][9] - The shift in market leadership indicates increasing pressure on traditional foreign automakers as domestic brands strengthen their positions [1][3] Market Share Dynamics - Volkswagen's joint ventures in China accounted for a 10.9% share of retail vehicle sales, down from 12.2% in 2024, while Geely's market share increased to 11% from 7.7% in 2025 [2] - BYD remains the market leader but saw its share decrease to 14.7% from 16.2% [2] Competitive Landscape - Established global automakers like Volkswagen, General Motors, and Toyota are losing ground to Chinese competitors due to a slower transition to electric vehicles, as Chinese consumers increasingly favor EVs supported by government incentives [3] Strategic Responses - Volkswagen is enhancing its localization efforts in China, including partnerships with Xpeng and Horizon Robotics to develop electric vehicle technologies and smart vehicle chips tailored for the Chinese market [4] - The company is also exploring opportunities to export vehicles developed and manufactured in China to international markets, similar to strategies employed by Chinese automakers like BYD [5] Global Performance - Volkswagen delivered approximately 4.73 million vehicles globally, with around 382,000 fully electric vehicles delivered in 2025, reflecting a slight decline of 0.2% [6] - Battery-electric models constituted 8.1% of Volkswagen's total vehicle deliveries for the year [6] Competitor Performance - BYD achieved sales of 4.6 million vehicles in 2025, a 7.7% increase from 2024, with sales evenly split between fully electric vehicles and plug-in hybrids [7] - Geely sold 3.02 million vehicles, meeting its target, and has set a sales goal of 3.45 million vehicles for 2026, indicating a projected growth of about 14% from 2025 [8]

Core Insights - Leapmotor has become the first Chinese EV manufacturer to receive investment from a state-owned enterprise, FAW Group, which acquired a 5% stake for 3.74 billion yuan (US$534 million) [1][2] - The investment reflects growing investor confidence in Leapmotor, despite bearish sales forecasts for mainland China's car market [2] - Leapmotor aims to achieve annual deliveries of 4 million units in 10 years, which would position it among the world's top 10 car vendors [3] Investment and Strategic Developments - FAW's investment will facilitate joint development of new EV models with Leapmotor, enhancing management efficiency and brand awareness [4] - Leapmotor is expected to deliver 1 million vehicles in 2026, representing a more than 60% year-on-year sales increase, potentially making it the No. 3 EV maker in mainland China [5] - Leapmotor has been a top vendor in the competitive mainland EV market, with full-year sales expected to exceed 600,000 units this year [6]

Core Insights - ECARX Holdings Inc. has entered into a securities purchase agreement with ATW Partners to issue convertible notes totaling up to $150 million, aimed at enhancing liquidity and strengthening its balance sheet [1][2] Financial Position - The financing is expected to improve ECARX's liquidity and provide financial flexibility for strategic priorities, including global expansion and product innovation [2] - The proceeds will support investments in software-defined vehicle and intelligent cockpit technologies [2] Company Overview - ECARX is a global automotive technology provider, delivering solutions for next-generation smart vehicles, including system on a chip (SoC) and central computing platforms [4] - Founded in 2017 and listed on Nasdaq in 2022, ECARX employs over 1,600 people across 13 locations worldwide [5] - The company has partnerships with major automakers, including Volkswagen Group and FAW Group, and its products are present in over 9.3 million vehicles globally [5]

Core Insights - ECARX Holdings Inc. has launched its AI Enhanced Antora® 1000 computing platform and Cloudpeak® software stack with the Geely Galaxy EX5 in the UK, marking a significant step in its European market expansion [1][4] - The Antora® 1000 platform is designed to meet global automotive safety standards and has received multiple certifications necessary for entry into the European market [2] - Cloudpeak® software enables a versatile and localized user experience, supporting features like multilingual voice control and smartphone integration [3] Company Overview - ECARX is a global automotive technology provider that offers comprehensive solutions for next-generation smart vehicles, including system on a chip (SoC), central computing platforms, and software [5] - Founded in 2017 and listed on Nasdaq in 2022, ECARX employs over 1,600 people across 13 locations worldwide, including China, the UK, the USA, and several European countries [6] - The company collaborates with major automakers, including Volkswagen Group and FAW Group, and its products are present in over 9.3 million vehicles globally [6]

Core Insights - ECARX has announced a strategic partnership with Victory Giant Technology (VGT) to develop advanced computing platforms for the automotive sector [1][5] - VGT specializes in high-density interconnect (HDI) and high-layer-count printed circuit boards (PCBs) used in automotive intelligence and AI applications [2][3] - The automotive industry is increasingly demanding high-performance computing platforms, which raises the need for precision and reliability in manufacturing [3][4] Company Overview - ECARX is a global automotive technology provider focused on delivering turnkey solutions for next-generation smart vehicles, including system on a chip (SoC) and central computing platforms [6][7] - Founded in 2017 and listed on Nasdaq in 2022, ECARX has over 1,600 employees across 13 locations worldwide [7] - The company has partnerships with major automakers, including Volkswagen Group and FAW Group, and its products are present in over 9.3 million vehicles globally [7] Industry Context - The demand for centralized AI-capable computing architectures in the automotive industry is growing, necessitating advanced manufacturing capabilities [3][4] - VGT's expertise in producing custom-engineered PCBs will support ECARX's intelligent manufacturing centers, facilitating system integration from R&D to mass production [5] - The collaboration aims to extend technological advancements into other emerging industries beyond automotive intelligence [5]

Core Points - ECARX Holdings, Inc. will report its financial results for Q3 2025 on November 3, 2025, before the U.S. market opens [1] - An earnings conference call will be held on the same day at 8:00 a.m. U.S. ET, with a live audio webcast available [2] - Audio replay and presentation materials will be accessible on the company's investor relations website after the event [3] Company Overview - ECARX is a global automotive technology provider specializing in turnkey solutions for next-generation smart vehicles, including system on a chip (SoC) and central computing platforms [4] - Founded in 2017 and listed on Nasdaq in 2022, ECARX employs over 1,600 people across 13 locations worldwide [5] - The company collaborates with major automakers such as Volkswagen Group, FAW Group, and Dongfeng Peugeot-Citroën, with its products present in over 9.3 million vehicles globally [5]

Financial Data and Key Metrics Changes - The combined market is up 18% year to date, with as-a-service up 29% and managed services only up 1.5% [6][7] - Managed services in the Americas grew 15% year to date, while EMEA and Asia showed declines [4][7] - The BPO segment generated about $1.8 billion in ACV, down 16% year on year, with a year-to-date decline of 22% [18][19] Business Line Data and Key Metrics Changes - The ITO segment was down 2% year on year but up 5% year to date, with the Americas accounting for all growth [14] - Engineering services saw a significant increase, up nearly 60% year over year and 36% year to date [15] - The BPO segment has seen nine of the past eleven quarters with year-on-year declines, indicating a long-term decline [18][19] Market Data and Key Metrics Changes - The as-a-service market, which includes SaaS, is now over 65% of the total volume [6][7] - The Americas managed services segment was up 22% year over year, while EMEA was down 25% [31][32] - Asia-Pacific managed services generated $2.5 billion of ACV, down 26% versus 2024 [33] Company Strategy and Development Direction - The company is focusing on cloud-first platforms and AI-driven solutions, indicating a shift towards automation and local hiring due to new visa policies [5][10] - There is a notable shift towards technology-led solutions in BPO, blurring lines with ITO services [20] - The company anticipates a continued evolution in pricing models, particularly with the introduction of autonomous level pricing [27][30] Management's Comments on Operating Environment and Future Outlook - Management noted that the macroeconomic environment remains uncertain, particularly in EMEA, but sees pockets of growth in the Americas [31][32] - The company expects continued strong demand for SaaS and hyperscalers, raising the forecast for as-a-service growth to 25% [58] - There is a recognition of the pressure on consumers and sectors like retail and automotive, which may impact discretionary spending [61][64] Other Important Information - The introduction of a $100,000 visa fee for H-1B visas is reshaping labor delivery strategies, leading to increased costs and complexity [5][10] - The engineering services segment is seeing larger deal sizes, with a 26% increase in average contract value year to date [16] Q&A Session Summary Question: What is the demand outlook for tariff-hit sectors like retail and autos? - Management indicated that while retail is under pressure, there are mixed signals regarding discretionary spending, particularly in cost optimization areas [61][62] Question: Will the increase in as-a-service outlook to 25% help revive demand for system integrators around SaaS implementation? - Management believes that the SaaS market is driving up demand for system integrators, particularly as organizations rationalize their infrastructure to be AI-ready [60] Question: Are there delays in decision-making due to the H-1B visa fee hike? - Management noted that while there was initial concern, clarity from the administration helped calm markets, and clients have not significantly slowed down [65]

Core Insights - ECARX Holdings Inc. announced the launch of its next-generation AI cockpit experience for the Lynk & Co 07 EM-P hybrid sedan and 08 EM-P hybrid SUV, utilizing its Pikes® computing platform and Cloudpeak® software stack [1][4] Group 1: Product and Technology - The Pikes® platform, powered by Qualcomm® Snapdragon™ SA8295P automotive-grade SoC, offers industry-leading compute performance, supporting features like AI Agent, instrument clusters, AR-HUDs, navigation, voice interaction, vehicle control, and infotainment [2] - Cloudpeak® enhances vehicle intelligence by integrating with the vehicle's E/E architecture, enabling the "Eva" AI agent to operate across various domains, and features a fully upgraded HMI with a 12.3-inch instrument cluster and a 15.4-inch central touchscreen [3] Group 2: Company Overview - ECARX, founded in 2017 and listed on Nasdaq in 2022, employs over 1,600 people across 13 locations globally, including China, the UK, the USA, and Germany [5] - The company is co-founded by Ziyu Shen and Eric Li, with partnerships including major automakers like Volkswagen Group and FAW Group, and its products are present in over 9.3 million vehicles worldwide [5]

Core Insights - ECARX Holdings Inc. has launched a next-generation in-vehicle navigation system and the latest version of its Skyland New intelligent driving solution at IAA Mobility 2025 in Munich, highlighting its commitment to an innovative and scalable technology roadmap [1][4] Group 1: Navigation System - The new global navigation system is integrated with HERE's advanced navigation platform, designed for rapid integration and adaptability across more than 200 countries, ensuring compliance with international data regulations [2] - HERE's map data is utilized in over 222 million vehicles globally, supporting ECARX's goal to shorten automaker development cycles while adhering to regional regulatory requirements [2] - The navigation solution is currently supporting models from various automakers including Lotus, Lynk & Co, smart, and Hongqi, providing dynamic and personalized navigation experiences [2] Group 2: Intelligent Driving Solution - The latest iteration of the Skyland New intelligent driving solution utilizes a single system-on-a-chip architecture based on Black Sesame's Wudang C1236 chip, offering L2+ assisted driving and parking features [3] - Key features include map-free highway Navigate-on-Autopilot (NOA), Automatic Parking Assist (APA), and Remote Parking Assist (RPA), designed for cost-effective performance and seamless integration [3] - The Skyland solution, based on Black Sesame's Huashan A1000, is set to launch on the new Hongqi H9, H9+, and E-HS9 models by late 2025 [3] Group 3: Company Overview - ECARX is a global automotive technology provider that delivers full-stack solutions for next-generation smart vehicles, including system on a chip (SoC), central computing platforms, and software [5] - Founded in 2017 and listed on Nasdaq in 2022, ECARX employs over 1,600 people across 13 major locations worldwide [6] - The company has partnerships with notable automakers such as Volkswagen Group, FAW Group, and Dongfeng Peugeot-Citroën, with its products present in over 9.3 million vehicles globally [6]

Core Insights - ECARX has achieved Automotive SPICE (ASPICE) v4.0 Capability Level 3 (CL3) certification, the highest rating under the ASPICE standard, enhancing its portfolio of certifications necessary for collaboration with leading automakers [1] - The company has established a scalable, compliant software-development backbone through various certifications, including ASPICE v3.1 CL2, CMMI CL3, and ASPICE v3.1 CL3, which strengthens its competitive positioning in the global market [2] - ECARX is committed to developing products in compliance with ISO26262 and ISO21434 standards for functional safety and cybersecurity, further enhancing its competitive edge [2] Company Overview - ECARX is a global automotive technology provider that delivers turnkey solutions for next-generation smart vehicles, including system on a chip (SoC), central computing platforms, and software [4] - Founded in 2017 and listed on Nasdaq in 2022, ECARX has over 1,600 employees across 13 major locations worldwide, including China, the UK, the USA, Singapore, Malaysia, Sweden, and Germany [5] - The company collaborates with notable automakers such as Volkswagen Group, FAW Group, and Dongfeng Peugeot-Citroën, with its products present in over 9.3 million vehicles globally [5] Leadership Perspective - Ziyu Shen, Chairman and CEO of ECARX, emphasized that achieving ASPICE v4.0 CL3 certification reflects the company's focus on R&D capability, quality control, and process maturity, supporting large-scale global mandates like the project with Volkswagen Group [3]