Huawei joins hands with Chang'an, the completion of a new company, can affect China's auto industry?

Text/Civil Engineering

Recently, Changan Automobile and Huawei signed a Memorandum of Understanding on Investment Cooperation in Shenzhen. After negotiations, Huawei plans to establish a new company to focus on the R&D, production, sales, and service of intelligent driving systems and incremental components for intelligent and connected vehicles. Changan Automobile and its affiliates will intend to invest in the company and work with Huawei to support the company's future development.

Changan Automobile and Huawei, the company that intends to be established, actually integrates the technology of Huawei's car BU to better empower the intelligent process of the entire domestic car company.

For Huawei's car BU, intelligent driving solutions and intelligent cockpits are the most core assets, and it is easy to imagine how important this new company is to Huawei when it is spun off and put into a new company.

This is almost the current core technical strength of Hongmeng Zhixing, and Huawei has shown a lot of sincerity to build a new future for China's automotive industry with Changan (including companies that want to invest in this company in the future).

So from a certain point of view, this operation is more like an independent part of the car BU and then united with Changan, a new upgraded, more open and inclusive Hi mode.

So in the future of this company, the bottom line is also the next "Bosch", and the highest will help the comprehensive upgrading of China's automotive industry and lead the world.

This also gives domestic manufacturers a reassurance, Huawei will no longer be linked to "car manufacturing", and the new company will draw a clear line between "for and not for". As long as the car companies still want to make a breakthrough in the era of new energy vehicles, there is a high probability that they will join this alliance at some point in the future.

As for the X-world of Wenjie, Zhijie, and Jianghuai and BAIC, according to the current information, it is unlikely to change the established development route. It is even very likely that these family members of HarmonyOS Zhixing will become the first customers of this new company in the future.

Changan and Cialis have already laid a good example, and there is no exclusivity clause in the agreement, and other companies can do the same, Huawei will be relieved to do "toB" business in the future, and it will be good to be Bosch in the era of smart cars, and Huawei has taken a big step forward towards its own strategic goals.

After the transformation of Huawei's automotive business into "toB" business, it is conducive to the rapid expansion of the HarmonyOS ecosystem, which is what Huawei values most, and the first-class enterprise must be an ecosystem, and the HarmonyOS system will become the operating system with the largest market share in China, and the operating system that is at least tripod with Apple and Google in the world market is Huawei's strategic goal.

To achieve Huawei's goal of expanding the HarmonyOS ecosystem into the world, Huawei's intelligent driving car business must go beyond China and into the world. At present, Huawei is still a company sanctioned by the United States, and there is no possibility of lifting sanctions in the short term, taking advantage of the rise of China's new energy vehicles, if Huawei's HarmonyOS ecosystem can gain a firm foothold in the world, it is the best solution for enterprises and national interests.

In terms of smart car related technology, Huawei has proven its unparalleled technical advantages, and it is difficult for other car companies to surpass Huawei, but the road to cooperation with Huawei has been paved.

Finally, to borrow Mr. Yu's speech: We have always believed that China needs to build an open platform for electrification and intelligence with the participation of the automobile industry, and an open platform with a "locomotive". We will deepen cooperation with Changan, and at the same time, we will work together with more strategic partner car companies to continuously explore a new model of openness and win-win, jointly seize the opportunity of the electrification and intelligent transformation of the automotive industry, and realize the dream of the rise of the mainland automobile industry."