Core Insights - The Horizon Together 2025 conference emphasizes the theme "Walking Together Towards High" and aims to accelerate the mass adoption of full-scene assisted driving technology [1][3] - 2025 is identified as a pivotal year for the transition of intelligent driving from technological breakthroughs to large-scale accessibility, with urban NOA (Navigation on Autopilot) being a critical battleground for commercial success [3][6] Industry Collaboration - The automotive industry is moving towards a collaborative model, where value sharing and ecosystem building are essential for the advancement of intelligent driving technology [6][19] - Companies like BYD and Volkswagen are focusing on building core capabilities in China, recognizing that software is becoming central to automotive business models [8][12] Technological Advancements - The conference highlights the importance of high-performance computing technologies and open ecosystems in enhancing user experiences and driving value [3][30] - The integration of advanced algorithms and high-performance chips, such as Horizon's Journey 6 series, is crucial for reducing costs and improving system efficiency [36][34] User Trust and Safety - Safety is deemed the foremost priority, with user trust being the ultimate measure for the widespread adoption of intelligent driving systems [34][35] - The industry consensus is that user experience must align closely with human driving expectations to foster trust in autonomous systems [35] Cost Optimization - The reduction in costs is driven by a dual approach of hardware restructuring and software paradigm shifts, enabling more affordable intelligent driving solutions [36] - The collaboration among industry players is essential for achieving cost-effective solutions while maintaining high standards of performance and safety [36][34]

Core Insights - The 2025 Horizon Technology Ecosystem Conference in Shenzhen focuses on accelerating the mass adoption of all-scenario assisted driving, emphasizing the importance of experience, cost, safety, and policy collaboration for commercial success [1][2] - The conference highlights the shift of intelligent driving from technological breakthroughs to large-scale accessibility, with the urban NOA (Navigation on Autopilot) being a critical battleground for success [1] Industry Trends - The Chinese technology platform is becoming a core variable in the global automotive industry's transformation driven by intelligence [4] - Companies like Volkswagen emphasize the necessity of building core capabilities in China to lead in the new energy vehicle era, with software becoming central to automotive business [5][7] Collaborative Ecosystem - Local automakers are forming strategic partnerships to enhance intelligent driving experiences, with a focus on shared vision and risk [11][12] - The integration of local ecosystems is crucial for Chinese companies to achieve global competitiveness in intelligent driving [8][9] User Trust and Safety - Establishing user trust and safety is identified as a core issue for the industry, with safety being prioritized over experience and cost [26] - The importance of human-like interaction in systems is emphasized as a means to build trust among users [27] Cost Optimization - The industry anticipates a cost tipping point in 2025, driven by hardware restructuring and software paradigm shifts [28] - The collaboration between hardware advancements and new algorithm paradigms is seen as essential for reducing costs and enhancing system performance [28]

Core Viewpoint - The 2025 Horizon Together conference emphasizes the transition of intelligent driving technology from breakthroughs to widespread adoption, with a focus on urban NOA (Navigation on Autopilot) as a critical battleground for commercial success [3][6]. Group 1: Industry Insights - The consensus at the conference is that 2025 marks a pivotal point for intelligent driving, with urban NOA's large-scale adoption being essential for commercial success, hinging on experience, cost, safety, and policy collaboration [3][6]. - The founder and CEO of Horizon, Dr. Yu Kai, highlighted two pillars for breaking through: advancing underlying computing technology and building an open ecosystem with partners to convert high-level driving experiences into scalable user value [3][6]. - The automotive industry is urged to move away from isolated breakthroughs to a collaborative approach that shares value across the entire chain, as stated by Fu Bingfeng, Executive Vice President of the China Association of Automobile Manufacturers [6]. Group 2: Global Collaboration - The intelligent wave is driving a deep restructuring of the global automotive industry, with Chinese technology platforms becoming a core variable in this process [7]. - Thomas Ulbrich, CTO of Volkswagen Group China, emphasized that to lead in the new energy vehicle era, companies must build core capabilities in China, where software is becoming central to automotive business [9]. - The trend of intelligent driving is increasingly defining brand value, with global markets showing growing interest in intelligent cabins and driving assistance features, as noted by Yang Dongsheng, Senior Vice President of BYD [12]. Group 3: Local Development and Collaboration - Local automakers are accelerating the large-scale implementation of top-tier intelligent experiences through deep collaboration [17]. - Su Jun, Vice President of Chery Automobile, discussed the strategic partnership with Horizon, focusing on creating unique designs and brand spirit through advanced technology [19]. - Yang Xinglong from FAW Bestune highlighted the necessity of collaboration with leaders like Horizon to navigate the intelligent transformation, showcasing a clear path of technology co-research and ecosystem building [21]. Group 4: Future Challenges and Opportunities - Jiang Haipeng from Great Wall Motors predicted a technological inflection point around 2028, emphasizing the need for specialized computing architectures to meet future challenges [23]. - Su Linke from Deep Blue Automotive highlighted the rapid success of their L06 model, showcasing the value of collaboration with Horizon in achieving high-quality autonomous driving solutions [26]. - The CEO of CARIZON, Han Hongming, shared insights on how international giants are integrating into China's innovation ecosystem through new collaborative models [28]. Group 5: Key Consensus from the Forum - The forum identified three core consensus points: safety is paramount, user trust is built through human-like interactions, and cost optimization will be driven by hardware restructuring and software paradigm shifts [35][36][37]. - The emphasis on safety as the foundation for user trust was reiterated, with a focus on ensuring system stability in everyday scenarios [35]. - The discussion highlighted that cost reduction is a result of collaborative advancements in hardware and software, with a call for performance iteration and system integration to drive down costs while maintaining high standards [38].

Core Insights - Chery's Starway ET5 officially launched on November 28, featuring Horizon's HSD urban assisted driving system and the Journey 6P computing solution, marking the start of large-scale production for Horizon's HSD [1][2] Group 1: Product Launch and Technology - The Starway ET5 is the first vehicle globally to incorporate Horizon's HSD urban assisted driving system, which utilizes the Journey 6P chip and offers advantages such as low system latency, strong defensive driving capabilities, smooth control in both lateral and longitudinal directions, and continuous self-evolution [2] - Horizon has secured partnerships with over 10 automotive brands and more than 20 vehicle models for the HSD system, with notable models like Chery's Fengyun T9L and iCAR V27 showcased at the Guangzhou Auto Show [2] Group 2: Market Outlook and Financial Projections - The company anticipates significant growth in revenue, projecting operating income of 3.543 billion yuan, 6.010 billion yuan, and 8.007 billion yuan for 2025, 2026, and 2027 respectively, with corresponding net profits of -686.5 million yuan, -135.8 million yuan, and -82.3 million yuan [3] - The current price-to-sales (PS) ratios are estimated at 29.65 times, 17.48 times, and 13.12 times for the years 2025, 2026, and 2027 [3] Group 3: Strategic Partnerships and Global Expansion - The company is deepening ties with leading Tier 1 suppliers, aiming to gradually penetrate global markets, with Bosch's mid-level intelligent driving solution based on the Journey 6M already delivered at scale, and ZF planning to launch a coPILOT system based on the Journey 6P in China by 2026 [2] - The company’s subsidiary, Diguo Robotics, has launched the first integrated SoC computing kit RDK S100 in June and plans to release a high-performance platform RDK S600 (560 TOPS) in Q1 2026 [2]

Group 1 - The core viewpoint of the article highlights the positive market response to Horizon Robotics, with its stock price increasing by over 4% and currently trading at 7.84 HKD, with a transaction volume of 4.57 billion HKD [1] - On November 13, the new model ET5 from Xingtu Automobile officially opened for pre-sale, featuring the Horizon HSD urban auxiliary driving system and the Journey 6P computing solution [1] - Horizon Robotics has announced that its HSD system has secured partnerships with over 10 automotive brands and more than 20 vehicle models, marking it as the first company in the industry to achieve mass production of low, medium, and high-level auxiliary driving systems [1] Group 2 - JPMorgan released a report indicating that Horizon Robotics' competitive product performance and pricing strategy will help the company continue to expand its market share and drive growth [1] - The report forecasts a compound annual growth rate (CAGR) of 56% in revenue for Horizon Robotics from 2024 to 2027, with an expected annual growth rate of 73% in 2028, suggesting a potential for further stock price appreciation [1]

Core Viewpoint - Horizon Robotics-W (09660) has seen a stock increase of over 4%, currently trading at 7.84 HKD with a transaction volume of 4.57 billion HKD, following the announcement of the new model ET5 from Xingtu Automobile, which features Horizon's HSD urban driving assistance system [1] Group 1: Product Development and Partnerships - On November 13, Xingtu Automobile officially launched pre-sales for the ET5 model, which is the first globally to incorporate Horizon's HSD urban driving assistance system and the Journey 6P computing solution [1] - Horizon Robotics has announced that its HSD system has secured partnerships with over 10 automotive brands and more than 20 vehicle models for targeted collaboration [1] - With the mass production of the first batch of HSD cooperative models, Horizon Robotics has become the first intelligent driving technology company to achieve mass production across low, medium, and high-level driving assistance [1] Group 2: Market Outlook and Growth Projections - JPMorgan has released a report indicating that Horizon Robotics' competitive product performance and pricing strategy will help the company continue to expand its market share and drive growth [1] - The report forecasts a compound annual growth rate (CAGR) of 56% for the company's revenue from 2024 to 2027, with an anticipated annual growth rate of 73% by 2028, suggesting a positive trend that could further boost stock prices [1]

Core Viewpoint - Horizon Robotics-W (09660) has seen a stock price increase of over 4%, currently trading at 7.84 HKD with a transaction volume of 4.57 billion HKD, following the announcement of the new ET5 model from Xingtu Auto featuring Horizon's HSD urban driving assistance system [1] Group 1: Product Development and Partnerships - The new Xingtu ET5 model officially launched pre-sales on November 13, showcasing the world's first integration of Horizon's HSD urban driving assistance system and the Journey 6P computing solution [1] - Horizon Robotics has secured partnerships with over 10 automotive brands and more than 20 vehicle models for the HSD system, marking a significant milestone in the company's growth [1] - With the mass production of the first batch of HSD cooperative models, Horizon Robotics becomes the first company in the industry to achieve mass production across low, medium, and high-level driving assistance technologies [1] Group 2: Market Outlook and Financial Projections - JPMorgan has released a report indicating that Horizon Robotics' competitive product performance and pricing strategy will help the company continue to expand its market share and drive growth [1] - The firm forecasts a compound annual growth rate (CAGR) of 56% in revenue for Horizon Robotics from 2024 to 2027, with an expected annual growth rate of 73% by 2028, suggesting a positive trend that could further boost the stock price [1]

Core Insights - The Chinese automotive industry is transitioning from "leading in electrification" to "winning in intelligence," facing challenges in smart driving technology development due to high investment and long cycles [1][4] - Horizon HSD (Horizon SuperDrive) is changing the competitive landscape by transforming urban auxiliary driving from a high-end option to a standardized feature [1][3] Industry Overview - The global automotive industry is rapidly integrating "electrification + intelligence," with China leading in the first half of electrification due to its complete industrial chain and continuous innovation [4] - From January to July this year, new passenger cars with L2-level combined driving assistance functions in China reached 7.76 million units, with a market penetration rate of 62.58% [4] Consumer Behavior - Consumer perceptions are shifting, with smart driving experience becoming the third most important factor in car purchasing decisions, following quality and performance [4] - Consumers are increasingly focused on the real-world performance of smart driving features, such as smoothness, adaptability to complex traffic, and human-like decision-making [4] Market Performance - The launch of the Deep Blue L06, priced from 132,900 yuan, showcases strong market demand for high-cost performance smart driving solutions, with over 20,000 orders within an hour of its release [5] - Despite the anticipated "smart driving equality" in 2025, high-level smart driving features are predominantly found in vehicles priced above 300,000 yuan, while lower-priced models lack such features [5] Competitive Landscape - Tesla's FSD has set a global benchmark in smart driving, but Horizon HSD's rapid mass production offers a more practical path for Chinese automakers to compete [3][7] - Horizon's business model focuses on providing standardized smart driving capabilities, allowing automakers to concentrate on user experience rather than redundant R&D [8] Technological Advancements - Horizon HSD has achieved rapid mass production, with over 10 vehicle models equipped with the system, and has become a leader in the domestic smart driving technology market with a 32.4% share [8][12] - The HSD system's success is attributed to its efficient integration of hardware and software, optimizing performance and energy efficiency [9] Future Outlook - Horizon aims to produce 10 million units of HSD within the next 3-5 years, leveraging China's unique advantages in complex driving scenarios [8][12] - The transition of high-level smart driving from luxury to standard features is redefining the global automotive competitive landscape, with Horizon's approach serving as a model for industry transformation [12]

Core Insights - The Chinese automotive industry is transitioning from electric vehicle leadership to intelligent driving, with Horizon's HSD urban auxiliary driving system entering a new phase of mass production [3][8] - Horizon has achieved partnerships with over 10 automotive brands and more than 20 vehicle models for the HSD system, indicating a significant market presence [3][4] - Horizon has become the first company in the industry to achieve mass production of all levels of auxiliary driving systems, with over 10 million units shipped from its Chengcheng family of intelligent computing solutions [4][6] Group 1 - The HSD system, powered by the "sixth-generation intelligent driving machine" Chengcheng 6P, offers advanced computing capabilities with 560 TOPS, supporting various auxiliary driving models [6][8] - The first models featuring the HSD system, including the Starway ET5 and the new Fengyun T9L and iCAR V27, were showcased at the Guangzhou Auto Show, highlighting the system's market readiness [3][7] - Horizon aims to achieve a target of 10 million units for the HSD system in the next 3-5 years, promoting widespread adoption of high-level auxiliary driving [8][10] Group 2 - The HSD system's competitive pricing and rapid production pace are breaking down barriers to entry for urban auxiliary driving, making it accessible for mainstream vehicle models [8][10] - Horizon's open empowerment model allows partner automotive companies to focus on brand differentiation and user experience innovation, strengthening their market position [10] - The collective advancement of Chinese automotive brands in intelligent driving is expected to shift the industry from technology following to experience leading [10]

Investment Highlights - This week, the performance of the automotive sector was mixed, with the SW commercial cargo vehicle segment showing the best performance at +1.1%, while the overall automotive sector declined by -2.1% [4][12] - The top five stocks covered this week included XPeng Motors, King Long Automobile, Songyuan Safety, Ruima Precision, and Foton Motor, all of which saw notable gains [4][12] Industry Core Changes - The new model ET5 from Xingtu Automobile has officially started pre-sales, featuring the world's first Horizon HSD urban auxiliary driving system and the Journey® 6P computing solution [6][12] - WeRide has received official approval from the UAE federal government to launch commercial operations of a fully autonomous Robotaxi in Abu Dhabi [6][12] - China National Heavy Duty Truck Group (CNHTC) reported wholesale sales of 28,000 units in October, a year-on-year increase of 70.5% and a month-on-month increase of 0.5%. Exports reached 15,100 units, up 77.7% year-on-year and 0.7% month-on-month, setting a new monthly sales record [6][12] Current Automotive Sector Configuration - The automotive industry is perceived to be at a crossroads, with the electric vehicle (EV) boom nearing its end and the smart vehicle sector entering a phase of innovation. Three main investment opportunities are identified: AI smart vehicles, AI robots, and traditional vehicle segments [8][13] - Key investment lines include: - **AI Smart Vehicle Line**: Focus on Robotaxi and Robovan, with downstream application targets including Tesla, XPeng Motors, and technology providers like Horizon Robotics and Baidu [8][13] - **AI Robot Line**: Emphasis on selected components from companies such as Top Group, Junsheng Electronics, and others [8][13] - **Traditional Vehicle Line**: Focus on buses (Yutong Bus), heavy trucks (CNHTC and Weichai Power), and two-wheelers (Chunfeng Power and Longxin General) [9][13] Market Performance Overview - The automotive sector ranked 26th in A-shares and 15th in Hong Kong this week, indicating a relatively lower performance compared to other sectors [17][24] - The overall valuation of the automotive sector has seen a decline, with the PE (TTM) for various segments such as commercial vehicles and passenger vehicles showing different trends [40][48]