Core Viewpoint - Huawei's automotive business unit (BU) has become a focal point at the 2025 Guangzhou Auto Show, particularly with its collaboration with Dongfeng Motor Group and GAC Group to create the "Two Realms" - Yijing and Qijing [1] Group 1: Collaboration Dynamics - The collaboration between Huawei and traditional automakers is marked by intense discussions and disagreements, which are seen as a natural part of the integration process [1][2] - Both teams often engage in heated debates over product details, but these disputes are aimed at enhancing product quality [1] - Huawei's CEO of Intelligent Automotive Solutions emphasized the importance of collaboration by suggesting that teams should take breaks to regroup and identify each other's strengths [1] Group 2: Strategic Importance - The partnership is crucial for traditional automakers as it represents a significant step towards electrification, intelligence, and premium transformation [1] - GAC Group's chairman highlighted the strategic importance of the Qijing project, stating it will be prioritized with concentrated resources for long-term development [1] Group 3: Collaboration Model - The collaboration model includes four key aspects: 1. Comprehensive cooperation throughout the product lifecycle, from initial project stages to marketing and ecosystem services [2] 2. Integration of Huawei's processes and methodologies with those of the automakers for deep collaboration [2] 3. Joint project teams with Huawei personnel embedded within the automakers to facilitate real-time adjustments [2] 4. Establishment of independent sales channels for both Yijing and Qijing, diverging from traditional and Huawei's existing channels [3] Group 4: Market Positioning and Product Plans - Yijing aims to create a diverse product matrix targeting various market segments, with its first model set to debut at the 2026 Beijing Auto Show [4] - Qijing plans to launch two models next year, both equipped with Huawei's L3 autonomous driving system, with the first model expected to be delivered by June [4] - The competition in the automotive market is intensifying, and both brands must differentiate themselves to avoid homogenization [4] Group 5: Competitive Landscape - There is ongoing market speculation regarding the similarities and differences between Huawei's "Two Realms" and "Five Realms" models, indicating a competitive dynamic within Huawei's automotive strategy [4]

Core Viewpoint - Huawei is set to launch a new collaborative model for automotive companies within this year, which differs from its previous "Hi model" and "Smart Selection Car" approach, aiming to create a co-structured framework led by car manufacturers with deep integration of Huawei's technology [1] Group 1: Current Collaboration Models - Huawei currently has three collaboration models in the automotive sector: "Component Supply Model," "Hi Solution," and "Hongmeng Smart Travel" [2] - The "Hi Plus" model is being explored by various car manufacturers, indicating an evolution or variant of the existing Hi model [2][3] - Companies like Lantu and Avita are actively working on the "Hi Plus" model, with Avita planning to launch 17 new products by 2030 [2][3] Group 2: Characteristics of the Hi Plus Model - The Hi Plus model emphasizes deeper integration of Huawei's technology from the engineering phase, allowing for more extensive participation in product definition, marketing, and ecosystem services [4][5] - Compared to the Hi model, the Hi Plus model has a broader scope, including user insights and product development testing [5] - The model is seen as a bridge between the Hi model and the Hongmeng Smart Travel model, with differences in brand management and sales responsibilities [5][6] Group 3: Market Implications - The increasing number of car manufacturers collaborating with Huawei may lead to diluted technical solutions and overlapping product matrices, raising concerns about differentiation in the market [5][6] - Companies are encouraged to leverage Huawei's advanced technology to enhance their market competitiveness, especially as the automotive industry faces a phase of accelerated elimination [4][6] - The collaboration aims to cover more vehicle types and markets, benefiting Huawei's technology development and revenue [6]