Core Viewpoint - The article discusses the shift in the automotive industry from price wars to technological competition, highlighting Huawei's strategy to focus on smart chassis technology to gain a competitive edge in the mid-to-high-end market [1][3]. Group 1: Industry Trends - The development of electric vehicles has transitioned from electrification to smart technology, with the ability to educate consumers on smart features becoming crucial for market leadership [3]. - Smart vehicles are categorized into three main areas: smart cockpit, smart driving, and smart chassis, with the latter still in the early stages of competition [3][4]. - The integration of multiple domains in smart chassis technology is essential for enhancing vehicle control and driving experience [5]. Group 2: Huawei's Initiatives - Huawei launched its first-generation smart chassis, "Tuling Smart Chassis," in November 2023, followed by the second-generation "Tuling Longxing Digital Chassis" in February 2024, which integrates six subsystems into a central controller for real-time decision-making [7][10]. - The smart chassis aims to improve safety, comfort, and flexibility in driving experiences, with features like slip prevention and rapid tire blowout detection [10][12][13]. Group 3: Strategic Rationale - Huawei's move into smart chassis technology leverages its extensive experience in ICT, allowing for a seamless integration of various automotive functions and enhancing its competitive position [15][16]. - The shift from hardware-centric sales to software-defined chassis solutions represents a significant business model upgrade, enabling ongoing revenue through software subscriptions and data services [16]. - As competition in smart cockpit and driving technologies intensifies, Huawei seeks to differentiate itself by completing the execution chain of smart vehicles and enhancing product value [17]. Group 4: Historical Context - Huawei has been building its automotive capabilities since 2018, collaborating with Audi and establishing a dedicated chassis tuning team in Germany, which includes experienced engineers from renowned automotive companies [19][20].