Core Viewpoint - Huawei's automotive business has achieved significant milestones, including 1 million vehicles equipped with its driving technology and over 100 million units of laser radar shipped, showcasing its long-term strategic vision in the automotive sector [3][4]. Group 1: Achievements and Strategy - As of July, 1 million vehicles have been equipped with Huawei's QianKun intelligent driving system, and the cumulative mileage for assisted driving has reached 4 billion kilometers [3]. - Huawei's automotive business has been investing since 2014, focusing on R&D rather than immediate commercialization, which has led to current profitability [4][5]. - The company has launched 28 models in collaboration with various brands, indicating a strong market presence [3]. Group 2: Technology Approach - Huawei prefers the World Action (WA) model over the Video Language Action (VLA) model for achieving true autonomous driving, believing WA is a more direct and effective approach [5][13]. - The WA model processes information directly from various inputs like vision, sound, and touch, bypassing the need to convert data into language [5][14]. - Huawei has developed the WEWA model based on the WA architecture, which will be deployed in ADS 4.0 [6]. Group 3: Business Model and Pricing - Huawei's CEO emphasizes that there is no such thing as a free service in the automotive industry; costs are often hidden or transferred [7][17]. - The company believes charging for assisted driving systems is justified due to ongoing costs for updates and maintenance throughout the vehicle's lifecycle [8][18]. - Huawei's approach to lifecycle management ensures that users receive continuous upgrades, enhancing their experience over time [18]. Group 4: Future Plans - Huawei aims to achieve L3 capabilities for highway driving and L4 pilot capabilities in urban areas by 2026, with plans for large-scale commercial use by 2028 [11]. - The company is also working on transforming the intelligent cockpit into a "digital nanny," integrating AI to enhance user experience [11]. Group 5: Safety and Technology Enhancements - Huawei's increase in sensor configurations, such as additional laser radars, is driven by a commitment to safety rather than merely increasing product pricing [19][20]. - The company focuses on enhancing the precision of its systems to prevent accidents and improve user safety in various driving scenarios [20][22].

Core Insights - Huawei's automotive business has achieved significant milestones, including 1 million vehicles equipped with Huawei's QianKun intelligent driving system and over 1 million units of laser radar shipped as of July this year [1] - The company emphasizes a long-term strategic vision, having invested in the automotive sector since 2014, which has led to current profitability without setting explicit commercialization goals [1][4] - Huawei's CEO of the Intelligent Automotive Solutions BU, Jin Yuzhi, believes that focusing solely on commercialization can be counterproductive, advocating for a commitment to technology development and user needs [1] Automotive Business Performance - As of August, 28 models have been launched in collaboration with Huawei, including brands like Audi and Avita [1] - Cumulative mileage for assisted driving has reached 4 billion kilometers [1] - The company has adopted a full lifecycle management approach for its products, ensuring continuous upgrades and maintenance for users [5][16] Technology Strategy - Huawei prefers the World Action (WA) model over the Video Language Action (VLA) model for autonomous driving, believing WA is the ultimate solution for achieving true autonomous driving [3][10] - The WA model processes information directly through vision inputs, eliminating the need to convert data into language, which is seen as a shortcut [3][11] - Huawei has developed the WEWA model based on the WA architecture, which will be deployed in ADS 4.0 [4] Future Plans - Huawei aims to achieve Level 3 (L3) autonomous driving capabilities on highways and Level 4 (L4) pilot capabilities in urban areas by 2026, with plans for large-scale commercial use of L4 by 2028 [9] - The company is also working to transform smart cockpits into "digital nannies," integrating AI as an AI Agent [9] Pricing and Business Model - Jin Yuzhi asserts that there is no such thing as free services in the automotive industry, as costs are often transferred in different forms [4][15] - The pricing for assisted driving systems is justified due to the ongoing costs of iteration, maintenance, and over-the-air updates [5][15] - Users who initially purchase the first version of ADS benefit from continuous upgrades, making the long-term cost of ownership more favorable [16] Safety and Sensor Technology - Huawei's increase in sensor configurations, such as additional laser radars, is driven by a commitment to safety rather than merely increasing product pricing [17][18] - The company aims to enhance safety in various driving scenarios, including parking and urban driving, by improving system precision through advanced sensor technology [17][18]

Core Viewpoint - Huawei's automotive business is rapidly expanding, particularly in the field of assisted driving, with various collaboration models with car manufacturers being explored [2][3]. Group 1: Collaboration Models - Huawei's automotive business unit (BU) collaborates with car manufacturers through multiple models, including component supply, single intelligence (either smart cockpit or assisted driving), dual intelligence (both smart cockpit and assisted driving), and full-stack solutions [2]. - The collaboration process involves Huawei supporting car manufacturers throughout the entire lifecycle, from product definition and design to manufacturing and marketing [2][7]. Group 2: Technology Approach - Huawei's approach to assisted driving does not align with the Vision-Language-Action (VLA) model favored by some car manufacturers; instead, it emphasizes the World and Action (WA) model, which directly controls the vehicle through sensory inputs [3][9]. - The WA model is considered by Huawei to be the ultimate solution for achieving true autonomous driving, bypassing the language processing step [9]. Group 3: Commercialization and Market Strategy - Huawei does not have a specific short-term commercialization goal for its assisted driving technology, focusing instead on long-term user-centered strategies and sustainable investment [7]. - The company believes that the market for assisted driving features will evolve, and that pricing strategies should reflect the ongoing development and maintenance costs associated with these technologies [12]. Group 4: Industry Trends and Future Outlook - The number of players in the autonomous driving space is expected to decrease as the industry consolidates, with future success relying heavily on data-driven approaches [10]. - The differentiation in assisted driving technology is minimal, as the primary goal remains zero accidents and fatalities, with pricing determined by perceived value to consumers [11].

Core Insights - Huawei's automotive business is rapidly expanding its assisted driving solutions and collaborating with various car manufacturers, including Baojun, Leap Motor, and Hongqi, indicating a growing presence in the industry [2][3] - The company emphasizes a diverse cooperation model with car manufacturers, ranging from component supply to full-stack solutions, enhancing their capabilities from product definition to marketing [2][9] - Huawei's approach to assisted driving technology diverges from the prevalent Vision-Language-Action (VLA) model, focusing instead on a World and Action (WA) model that utilizes direct sensory inputs for vehicle control [3][10] Cooperation Models - Huawei's cooperation with car manufacturers includes multiple models: component supply, single intelligence (either smart cockpit or assisted driving), dual intelligence (both), and full-stack solutions [2][9] - The collaboration process is designed to deepen over time, with Huawei supporting car manufacturers throughout the entire product lifecycle, from design to marketing [2][9] Technology Perspective - Huawei does not endorse the VLA approach, believing it is not the ultimate solution for autonomous driving; instead, it prioritizes the WA model, which aims for direct control through sensory inputs [3][10] - The company acknowledges the rapid development of assisted driving technology and anticipates a consolidation of players in the market, driven by data, computing power, and algorithms [11] Commercial Strategy - Huawei does not have a specific short-term profitability target for its automotive business, focusing instead on long-term user-centered investments and sustainable growth [8] - The company argues that there is no such thing as a free service in the automotive sector, as costs are often hidden in vehicle pricing or future service fees [13]