Roundtable Forum 1: Intelligent driving is competing for deer, who will be the first to break out?

Roundtable Forum I

Moderator: Thank you, I am Cui Yan of Huaxi Securities and the host of this roundtable forum, today we are very honored to invite six guests, including car companies, as well as leaders of start-up companies to discuss together. The theme of today's forum is the nugget opportunity in the first year of intelligent driving, and we also hope to explore what will happen in the future of the track, including what investment opportunities we will generate, and then enter the roundtable forum session of this session.

A key word this year is the first year of intelligent driving, we see car companies, car startups in the acceleration of the landing of automatic driving, from the car company level there are many L3-level models in the acceleration of mass production, in some closed sections, docks, etc. are also accelerating the landing, the first question wants to discuss with you, we think what has changed in the industry in the past two years, and now what stage of automatic driving? What are the elements of this that determine some of the changes that everyone has seen in this industry in the past two years, first of all, I invited the general manager of China Insurance Research Institute to share!

Fang Zhongyou: Thank you! This year is the first year of automatic driving, I personally think that the reason why automatic driving is called the first year, the current ecology of automatic driving is being improved, from four aspects, the first is technology, the traditional enterprises in the field of vehicles and Internet-related technology, the second is the intervention of manufacturers, the third is the power of capital, the fourth is the recognition, acceptance and trust of consumers for automatic driving, the biggest deficiency at present is the legal problem, personally believe that capital investment can be solved at present, the key is that automatic driving is not a simple technology, may be an ecological problem Laws and regulations are very important, laws and regulations can solve people's trust in this matter, and the related needs to be developed.

This year's intelligent driving scene is progressing, the future of automatic driving can be a good development, the same brand, automatic driving feel completely different, I have experienced.

Last year, the insurance product problem of new energy vehicles, we and the China Insurance Association brought a lot of thinking problems for the current domestic new energy vehicle manufacturing, but I am personally full of confidence in the application of automatic driving in the future.

Cui Yan: Thank you Mr. Fang for sharing! Mr. Fang, I would like to ask another question, now we see a lot of automatic driving in OEMs, how to balance between technology and safety, how do you think about this problem?

Fang Zhongyou: Autonomous driving is a network problem, and we are also thinking about the gradual reduction of traditional enterprises in the future, but once there is a conflict, how to bear it, in addition to the car, the supporting law and insurance is still very important.

Cui Yan: Thank you Mr. Fang for sharing! Below we also want to listen to the views of several leaders of the car companies, first of all, please ask the deputy general manager of GAC Aean to share!

Xi Zhongmin: Automatic driving is beyond everyone's imagination, the first two years you may not have thought of the driving technology around the electric vehicle platform, because the electric platform as an automatic driving platform, just now the host also said, automatic driving from 2020 to launch AR, I asked all the people who drive automatic driving, they said that there is a new experience on the highway.

The second is L4, I saw in Yizhuang that the streets are full of L4, which is another line, this line can see that the software may run very well, but it does not have mass production conditions. You can see that the L4 hardware is not mature now, but I think the software is running better, this line I think in 2024 the entire hardware conditions are available, 2024 will be a small batch of market test runs, maybe 2025, 2026 after the real mass production. But I think these two lines will merge into one line after 2025, becoming a curve for truly high-level autonomous driving. This is my view on the development of autonomous driving.

Cui Yan: Thanks to Mr. Xi, just now Mr. Xi also mentioned that electrification is the best carrier of intelligence, and in the past few years, the state of development of electric vehicles has been very good, so we have seen that the speed of intelligent promotion based on electric vehicles in the past two years has also accelerated significantly. Just now, Mr. Xi also talked about the gradual strategy for car companies and the strategy of direct leapfrogging, both of which will gradually begin to form high-level automatic driving at this stage by 2025. We also see more and more clearly this industry through the sharing of Xi Zong just now.

I would like to hear what views you have on this issue as an excellent representative of the new forces of automobiles, Mr. Zhang of Weima? Please!

Ran Zhang: Good afternoon, everyone! First of all, I am still excited to come to Yizhuang today, why? In 2010, we spent more than half a year in a small hotel in Yizhuang, but it is still a milestone project. After 11 years, I returned to Yizhuang and saw that the development of Yizhuang was already thriving, as several leaders just said, so I was full of emotions.

I would like to take this opportunity to express a few points, first, similar to the discussion held by the Securities Daily today, in fact, there have been different discussions in the industry before, I remember participating in the discussion of new energy vehicles, there are overall new formats, including finance, insurance, second-hand cars, the entire new ecological development. Today we are here to discuss the topic of automatic driving or intelligent driving, in fact, all these discussions are the process of going with the flow, that is to say, the development of the automotive industry to today is now facing some new opportunities and challenges, from WM, I will first briefly say a few words about the work that WM has done in the past few years, and then talk about my ideas.

The core appeal of WM is to hope that what we see in the various industries here can be reflected step by step in the market consumers in a way that can be implemented, we step by step on the car, first intelligent driving warehouse, then L2, is now the L4 of the limited scene, slowly in the process, personally feel that for us to learn, of course, the slope of this learning is steep, we are a rapid learning process, but also a whole industry learning, the previous few industry leaders said very right On the whole, the problem of intelligence is not something that can be comprehensively overcome and solved by a single enterprise or a certain link, but must be the result of the joint promotion of all the enterprises present here, including many enterprises not present here. But what I want to express is that it will be brought together into the car product, as a collective performance in front of consumers, let them feel and experience.

In this process, we are very fortunate to be in the whole vehicle link with all the upstream and downstream partners here to discuss this issue, here I want to express another point is that now we find that there are a lot of things that need to be dealt with that the original industry may not have in the talent structure or is relatively weak or need to be transformed, these we later started to talk, I first pulled out this topic, these are the things that we are now involved in this industry to find a lot of specific things to solve, Just talked about the overall development direction of smart cars, we have our own judgment, a moment can further do the exchange, thank you!

Cui Yan: Thank you Mr. Zhang for your point of view! Mr. Zhang mentioned a word, I think it is indeed very obvious in the automotive industry in recent years to feel, has been a lot of cross-border, not only car companies, there are a lot of new including software, algorithms, etc., these will run through the automotive industry chain, these two years the entire industry learning curve is getting steeper and steeper, we see the result is that this track up faster than everyone imagined, thanks to Zhang Zong's point of view!

Geely high-end electric brand Extreme Krypton, just in October data we understand that Extreme Kr 001 is about to start delivery, I believe That Mr. Yuan has a lot of his views on this track, please Mr. Yuan!

Yuan Jing: Thank you host! Just now Mr. Zhang mentioned a word I particularly agree, intelligent driving is now a state of water, just now Fang Zong also mentioned that the pace of intelligence is much faster than everyone imagined, I believe that everyone here are also aware of the industry involved in automatic driving, whether it is perception, decision-making or commercial to passenger different scenarios cover a much more range than everyone imagined. From our point of view, the most important thing is how we as an OEM to bring together partners in different positions of the industrial chain in different scenarios, to bring together so that everyone can become a real community of interests, from this point of view, at the end of August we did a round of co-investment and co-creation of the signing ceremony, we also found in the semiconductor, automatic driving industry have a lot of accumulation of some partners, hope to be able to gather more cross-border forces in the entire industry change process, Finally, it will make a little effort for the development of the entire field of intelligent electric vehicle autonomous driving.

Cui Yan: Yuan also mentioned the word cross-border, now the car is not completely dominated by hardware in the past hundred years, and now there are many chips, software, algorithms, etc. to join the industry, today's roundtable arrangement is still very meaningful, there are authoritative third parties like Zhongbao Research Institute, there are car companies, and some of the original in this ecology may not have been seen in the past hundred years, but now some chip, automatic driving and algorithm companies have begun to enter this industrial chain. Now I would also like to ask Mr. Wang Lei of Horizon to share with you the subdivision track of the new science and technology as an industrial variable, how do you think of the changes that are happening in this industry now?

Wang Lei: Speaking of variables, I feel that I can see from today's dress that I am wearing a company culture shirt inside. In the past, jeans were never worn in the company, and now they all wear jeans, if the variable can be seen from the wear. Mr. Xi said that it is in the ascendant, from the perspective of each very small company, my own feelings are still very deep, we just showed our chips last year, this year's ideal in the new version of the two chips, these years for us to change very much, we feel very deeply from the perspective of a small enterprise, of course, there are some car companies, such as GAC products, what is the force from this industry is not accepted by consumers to the current booming trend? We feel that there are several aspects, the first aspect is that the amount is relatively large, just now Teacher Cui also said that electrification may be intelligent forward-looking, first electric and then intelligent, last month's penetration rate of electric vehicles reached about 20%, if the penetration rate of electric vehicles reached 20%, this is a particularly large agent. Also give us some comfort, just now Changan's Li zong is sharing their products, it turned out that we said that 2030 will reach the level of vigorous development, just now Changan's PPT said that it will be 75% in 2025, which is a very exciting news for our upstream suppliers. So the amount is very large.

Second, we feel that Chinese consumers are better than consumers in all other places, and we feel that more than 90% of customers in China are willing to pay a little money for the function of autonomous driving to buy this configuration and service, and Changan Li also shared this view, and the customer base is also very large. Coupled with the emergence of a number of suppliers in China who understand consumers like vertical eyes and horizons, and can develop products, there are markets, products, and local enterprises to help, this is indeed promoting the general trend forward.

Cui Yan: Thanks to Mr. Wang Lei's sharing, Mr. Wang Lei also mentioned that China's intelligent driving may be more optimistic, we are actually very optimistic, electrification has been at the forefront, the progress of intelligence is also very leading in the world, we also want to hear about Longitudinal Technology, a very good company, there are also many companies involved in algorithms, etc., want to hear Mr. Huang's views on this issue.

Huang Jie: Hello everyone! I am Huang Jie from Zhongmu Technology. Every time we attend the forum, we hear everyone talking about scenarios, talking about ecology, talking about business models, and even more recently talking about data rights sharing. Because we are engaged in the direction of automatic driving software and hardware system suppliers, in fact, our experience is very profound, including several guests on the platform are our partners, including horizon, several OEMs, including the insurance mentioned by Mr. Fang, in fact, are our partners. From the scene point of view, the market is constantly maturing, indeed as Fang said, the policy, insurance supporting the continuous technology maturity, facing the public, this is my personal opinion of a relatively long-term business model landing scene.

In addition, some commercial industry applications, mines, ports, etc., as well as trucks such as highway heavy trucks, will indeed land in the industry and provide some corresponding services. Because I have been parking this scene, the large categories will be in the scene of personal consumption operation with travel passenger cars, so in the comprehensive development of the entire industry, the parking yard is indeed the earliest landing piece, and at the end of this year, there will indeed be several OEMs landing the entire service, which is part of it.

Including the mention of ecology, when the automatic driving lands, it will indeed face the responsibility of us to see insurance in the parking lot, insurance pricing is actually to have some original data, the accumulation of big data to do actuarial, the early need for insurance companies to explore with us, first there is a data pricing, and then from the link of responsibility determination, from the car to the insurance company system to open, the identified program, customer service claims, the whole link is relatively early, or need to do some work.

Speaking of business models, Just now Changan Group's Li Wei also mentioned APA7.0, but also mentioned the business model, it is a great honor that the two key directions he mentioned are the two parts of the in-depth cooperation between Longitudinal Technology and Changan Group, speaking of data rights, I personally used to do the Internet, data rights are actually a very sensitive topic, first of all, it is very relevant to national policies, the confidentiality of user privacy, the sharing of desensitized data, including how these data will create some value in the future, and then what role will it play in the development of automotive autonomous driving, I want to compare the practice of Internet companies to create platforms, usually the way the platform software side is opened to service providers , and then provide users with different types of services, whether it is a mobile service or an industry application service, these are all there.

OEMs, suppliers and then users, this ecological chain I personally think can learn from it, because data sharing we do a good job of data security, in addition to doing a good job of data desensitization of strict planning, the third is what kind of data, how to share, in fact, in everyone's ecology has a certain degree of openness when the data can be used well, on the one hand, improve the algorithm, this is very important, the second aspect can deeply understand the user's travel behavior, this is a comprehensive behavior, not for someone to do, Finally to do a better technical security guarantee, while also being able to study our research and development, and then better put into application, this is some of my insights, thank you!

Cui Yan: Thank you Mr. Huang! Just now Mr. Huang shared that the changes in this industry have spawned a lot of new business models, and the second question, we would like to talk to you about the technology path and business model. In fact, we now see that in the process of intelligence, chips, computing platforms and algorithms, these may be the core of it. Now tesla as a representative of the more typical full-stack self-development, how do you think about the two ways of self-development and external suppliers? First of all, please ask Mr. Fang to talk about your point of view!

Fang Zhongyou: Okay, what impact do we have on consumers when the car finally forms this product, we are concerned from this aspect, from this aspect to consider how the future of the host just talked about how to divide the work, the division of labor is very important, behind the division of labor is the cost, all the chains of a company are done, it is estimated that consumers may not be able to accept this product. Second, the division of labor and cooperation boundaries who to dominate, the brand in this aspect is also with the important, personal feeling technology problems, I am not an expert, talk about some personal feelings and ideas, the current first year of intelligent driving, we return to the consumer's understanding of which problem is the most concerned about? The first is safety, safety issues The first is the safety of the driving process, the second is the trajectory security of the data, and the third is that there is a problem, as long as you are the Internet, there must be external causes, nothing more than what this reason is, how to ensure safety in this case.

Second, the issue of the cost of use. At present, especially the middle and high-end people are users of autonomous driving, their time may be more valuable, so how to solve the cost problem? Personally, I think that we from L3 to L4, etc., this industry first is not a company can complete, the second is how to cooperate with each other, the third is how to solve the relevant laws and regulations in the process of cooperation, the development law is not solved, the owner's trust in the enterprise must not be high, so whether it is software, environment, etc., from the current point of view, in fact, there is a lot of progress, I personally think that everyone sits down to form a standard, just now Xi Zong also talked about L3, L4, L5 what standards, the standard should be clearly visible in detail, The standard clearly states that everyone can cooperate, I am not necessarily professional, thank you!

Cui Yan: Mr. Fang mentioned a key point, no matter how to divide labor and cooperate, in the end, it is still necessary to return to consumers. Just mentioned an algorithm is also very important, the industry's view is to do full-stack self-research can also continue to promote future products, or want to please from the perspective of car companies, Xi Zong, how do you think about self-development and external suppliers, what is your point of view?

Xi Zhongmin: Automatic driving is divided into two lines of hardware and software, divided into three levels, hardware is the bottom layer, perception, the top is pre-control, software is the operating system, the middle layer, L3 is the software of perception, these three are regulation and scene application. For car companies, if the conditions are certainly full stack, all the technology is in their own hands, all the data is in their own hands, of course, this is the best way, in China, Huawei may also want to do this, but the biggest problem of the whole line is cost, time, talent, can the main engine factory now gather so much technology to accumulate talents? There is difficulty.

Now how to do it, from the hardware point of view, perception, sensors, chips, easy to control, I think this is 1.0, can be completely in the industry and everyone to cooperate, together to do, this main engine factory does not have to do it themselves, completely with partners to do. From the perspective of software, the operating system, now the main engine factory does not have the conditions to dry, the perception program does not have the conditions to do, if we can do it, there is nothing for them. But there is a point, the top layer, the regulation and control and the scene application layer, I think this is the main engine factory to firmly grasp in their own hands of the thing, do not have illusions, the main engine factory will not give you, if the main engine factory to give you this, then we have nothing, so the control of the scene, this is our way to take to make money, this is impossible. From now on, the most direct thing for the main engine factory is that we must firmly grasp the regulation and the scene, because this can constantly iterate on the software, and can constantly give users a new experience, which is the performance that the main engine factory must master. In self-driving cars, without this technology, it may not be mixed. If the main engine factory has this part, you can rest assured, the main engine factory will definitely hit the board, as for whether the operation performance will be hit, it depends on whether anyone will expose the operating system in the future, in fact, the operating system cannot be too much, just one or two fixed, this logic is that the main engine factory may not have the ability to full stack, but the main engine factory will definitely do the application layer, and it will also hit the perception layer, which is my point of view.

Cui Yan: Xi Zong's point of view is still very clear, the product application layer must be in the hands of the main engine factory, the main engine factory will definitely do, for the perception of the downward, as well as chips, etc. or consider the way of cooperation, because it also depends on the layout of the car company. Mr. Zhang of Weima, what do you think of this topic?

Zhang Ran: Discuss this issue from several levels, first, first of all, the matter of scientific and technological innovation itself has a high degree of randomness, even if I say that I want to do this thing myself, or do a certain industrial chain by myself, is it possible that I can do it, maybe others want to attack what I am doing now, in fact, the emerging industry is just a lot of impact on the original industry in which we participate, I think this is the law of science and technology itself, we can not forget this. Under this premise, I personally believe that in the future, the whole industry chain must be coordinated to generate the most effective technical path, which is the first point.

Second, no matter which link we are in this industrial chain, we don't need to be too anxious, we may have more experience at the level of doing the main engine factory, I said where is the core value of the main engine factory? Thinking about it, in fact, there is a very simple example to share with you, just like we have a lot of chefs, some are five-star, three-star, some are roadside chefs, all called chefs, some of them are called BBA, some are called what is the name, all called the main engine factory, why are there high and low, good and bad? In fact, the core of the main engine factory is able to have a fairly strong integration ability in the entire value chain, can have in-depth insight in the consumer market, transform the insight into engineering language, and then through the rational allocation of the cost just mentioned, combine the entire supply chain system, and then on time, according to quality, according to quantity, by cost, by investment, all of which are the best match, and then hundreds of thousands of production efficient sales, a back and forth is a product, and after the product is updated in different iterations, it has been leading. It's called a three-star cook, otherwise there wouldn't be tomorrow. I feel like it's a core cognition, at least my own.

Second, it is not excluded that this cook has some of his own secrets, such as here is a sauce that I have exclusive secrets, and he will not share it with others, which is possible. I still firmly believe that just now I saw that the topic of discussion also said that there is an Internet system, an automotive industry parts system, a vehicle system, a different system, and so on, all of which are entering this field, who can win in the future? I don't think it's easy to judge, but I don't think the opportunities and possibilities for anyone to participate in this field should be ruled out, as long as he puts a reasonable allocation together to effectively integrate resources, he has a chance to win.

Cui Yan: Mr. Zhang used a vivid example of a chef to show his point of view, below we would like to talk to Mr. Yuan, Extreme Kr is also the first platform for Geely mass production, he not only wants to do the platform car, but also to do some ecology, I want to ask you how to think about the problem of self-research division of labor?

Yuan Jing: Pull the camera back a little, with a relatively long time, in fact, the problems we are encountering now in the history of the development of the entire automotive industry for more than a hundred years have been discussed, where is the boundary of the oem's business, in the entire L car industry for more than a hundred years, we have a better game, and then there is a boundary, in order to lock in the new energy vehicle or intelligent electric vehicle industry, we are still in the game, still discussing that we have different interactions with suppliers, which is also a very normal thing.

Looking back, as OEMs, we are more concerned about how we first confirm that what we are doing is right, or that the direction we want to do is good. Just now Fang zong mentioned that what we are most concerned about and most concerned about is actually our interaction with users, whether we really bring users a different experience from others, a more advanced experience, a better experience. This puts forward new requirements for the communication between OEMs and users, rather than just talking about the supply chain. Second, how do we have a better cooperative relationship with supplier partners in the supply chain, whether it is the previous electrification transformation, the current intelligent investment, the future more investment in other aspects, in fact, in the development of the entire ecosystem, relying on the main engine factory alone is certainly not enough. The most important thing is how do we create a community of interests, how to create a co-investment, co-creation, let's develop a good atmosphere in this industry together, from the top and bottom of the entire industrial chain, from the surrounding area of the ecosystem to gather, this is our most important and critical thing as an OEM.

Cui Yan: Mr. Yuan mentioned a few key words and expressed his views very clearly. Where is the boundary of an OEM doing this, it also mentions Fang Zong's point of view, the interaction between users and consumers, how to make products that consumers and users are satisfied, which is the ultimate core, including overall co-creation and collaborative development with suppliers. After listening to the views of several car company guests, we also want to listen to the views of excellent supplier representatives, and please talk about Mr. Wang below.

Wang Lei: Just now when I listened to Mr. Zhang, he said to respect the law of scientific and technological development, this is the problem that comes to mind now, in fact, many things should be respected, if it is parts, it is necessary to respect the scale of the parts manufacturing industry, for example, if now for example, Geely Automobile has 1.5 million vehicles, it is the largest car company in China, 60% to 70% of the market share, the main engine factory to do parts, be prepared to say that this part can not be shared with all car manufacturers in the near future, probably the market share of parts is zero to seven, How I can make a profit with a market share of zero to seven is a paradoxical matter. Now the industry is more to open their own battery industry chain, if from the perspective of manufacturing, that is, the heavier the manufacturing, the more should not be done by themselves, the lighter the things should be done by themselves, because it is very easy to scale the process, give up some hard things to the supplier to do, this thing is right. Now the chip industry is very typical, very long-term investment, of course, we do not weigh assets, but the investment in research and development of intangible assets is a lot, the return may also rely on a very large amount to get returns, from this point of view, some things are to crowdsourcing, some things are to self-research.

Cui Yan: I would like to ask Mr. Wang another question, large computing power chips are also a track that we are very concerned about in intelligence, you mentioned that the advantage of being a supplier is that it is easy to form an effect for many OEMs, on this track, what gaps and advantages do you think Chinese companies have compared with foreign countries?

Lei Wang: I may still just be from the horizon point of view, we are a very open, compatible, call to become an altruistic philosophy of the company. We will think about what kind of product the customer wants, whether he needs a black box product, or a white box product, if it is mainly an open environment, we will do this product form. Horizon's current product results, people will say that we are a chip company, in fact, we do a lot more than chips. We do the algorithm on the chip, in order to make the main engine factory better use our algorithm we will give him a set of algorithm tool chain, in order for everyone to use the iteration of the cloud, we have a set of cloud platforms for them to use, on the basis of this we also have a variety of intelligent cockpits, intelligent driving to everyone, we are like a restaurant menu, on-demand orders, we are also a menu, we are very open, so we and many international chip manufacturers they a lot of things are not open to the public, But Horizon is very open. In the short term, you may see that we have so many partners, we already have 14 models have been mass-produced, as of the last conference, at the end of July we have released more than 600,000 chips, this amount is very large, which makes us firmly believe that the open environment is a better way to win with OEMs and tier 1 partners in China.

Cui Yan: Thank you! Mr. Wang mentioned that a key word is the gap between China and foreign countries, and the gap between Horizon and other manufacturers is open. Zhongmu Technology is also a supplier, Mr. Huang threw out some views on the business model and division of labor in the previous topic, what views do you have to share with us on the topic of our discussion? What is The Position of Zhongmu as a Supplier?

Huang Jie: Thank you! As the longitudinal eye just said, we are from hardware to software to the system are doing, to put it bluntly the entire investment field is still quite complete, I think automatic driving such a stage of development, in fact, there are many participants in the society, they are really a specialty in the art industry, from a longitudinal point of view we are starting from L1, L0, all the way to L3+, to independent parking, we found that before the supply of spare parts, in fact, the production and manufacture of hardware is relatively iterative speed will not be too fast, When it comes to L3, in fact, the use of maps, the use of engines including the use of perception algorithms and vehicle control, etc., we will experience a very strong coupling of the integration of technology, I personally feel that such a safety in the automatic driving is the first stage, I think the participants from his focus on the direction, with the main engine factory or other suppliers, I think the first is open, vertical is very open, we can provide the whole set, but also output some software on the SDK, In this way, the strong part can be taken out, and everyone can work together to do a good job in the safety of automatic driving. At the same time, we also believe that in addition to cooperation, some capital has some integration, so that we can better promote the rapid development of automatic driving at this stage, and then accelerate, from the overall point of view, we are still very open-minded, and the industry should be more open.

Cui Yan: Thank you Mr. Huang! At the beginning, we first talked about the stage, key elements and business models of the industry for today's roundtable topic, and everyone shared their respective views, back to the theme of this session, how do you think about the competitive landscape in this industry? Because in addition to the original participants, there are now Huawei, Millet and other head technology companies began to join in, I would like to invite guests to discuss the future competitive landscape, first of all, please talk about your views.

Fang Zhongyou: I personally believe that who can win in the end, maybe everyone wins, maybe there are many people on the way forward, this is a very important aspect of capital, planning is very important. I personally think that the basis for automatic driving to continue in the later stage, including its own algorithm, including the network, this is a foundation, there are three aspects to pay special attention to, it seems to have nothing to do with technology, but it has a lot to do with the application of technology.

First, it is still necessary to return to the ecology, really in the hands of users, what problems need to be solved after the technology is solved, and who can take into account the latter few problems in the process of technology research and development. I personally still have this point of view, at present Huawei and other technology companies, to be safe, cost controllable, enterprise very good products, to complete the difficulty is still very large, or need to cooperate and cooperation, including the country's legal environment, cultural environment, the most important thing is integrity, this industrial chain can not cooperate with each other well, the first is the standard, and integrity, because integrity is a short version of Chinese culture, if this short board is solved, such a product to the user's hand can be qualified, I personally think that on this runway must be harmonious coexistence, may be who is leading, a certain port who to dominate this is possible, but the pricing should be set well, we all know that the Internet software countries if not from the law, culture, integrity to solve, customers no one dares to use, no matter how good the technology can not be transformed into the capital needs of the force, who can win, we have to position what your expectations are, expectations are very important.

Cui Yan: Thank you Mr. Fang! We asked the guests of the car companies, what do you think of the general manager of GAC, and how do we as a car company respond to the changes that are taking place in the industry?

Xi Zhongmin: This question is the question of who can win, in fact, we discussed this problem in the United States four years ago, and the gap between the United States and China was very large four years ago. Americans ask me a question, do you think Google is great or Tesla is great? Many people think that Google is great, Google's software is doing very well, but now the facts show that Tesla is more powerful, why? In fact, everyone ignores that Tesla has data, and the closed loop of data has caused continuous evolution and evolution. In the future, no matter who enters this enterprise, can you do a good job of data closed loop, have data, now we say today that we are navigating on the highway, tomorrow we say that the ramp can go down, the day after tomorrow said that the toll station can pass, and constantly update the software iteration. So to be able to win, it must be the data to win. Now in fact, many enterprises are also aware of this problem, many software companies running outside their data volume is very small, they hope to seek cooperation with the main engine factory to make the amount of data larger. Including our partners, who do software development with us, data is very important. Including Huawei, we also said that data should be shared, and let's do this field together. I think no matter who can do a good job in this industry, the key is whether you can have the ability to iterate in the closed loop of data. If there is no data, the software becomes better, there is no data to verify, do not know the real problem, win is whether your data can do better.

Second, the problem of automatic driving charging, now around the data iteration can be charged, because the data has not been done very complete, if one day automatic driving to achieve a very complete closed loop, become a must-have time to charge the end of the charges, now short-term charge for you, Fang Zong they said that we must meet our safety standards, this is the standard time, but I think there is also a charging system, two possibilities, one is a little higher cost, that is, I put the hardware a little more, the future is all the technology to go up, Software according to the hardware is slowly in the release, this is a model that can be continuously charged, but this model is not very easy to use, the previous cost spends too much; the second is that everyone is doing a new pricing model, many large OEMs are doing new pre-control, this new generation of architecture, this feature is that the hardware can be plugged and played, I developed the hardware unplugged, plug and play, software is often new, this model for automatic driving and produce a new business application model, no matter what commercial application model, I think the main engine factory can not play The future industrial integration is a big trend.

Cui Yan: Thank you Mr. Xi! The most core element in judging the future competitive landscape is who can do a good job of data closed-loop. Ask Mr. Zhang of WM again, how do you think about the topic of the future competitive landscape?

Zhang Ran: I myself am from the study of economics, I think in many industry competition strategic point of view, some of the basic laws of economics we still have to recognize, in the automotive field, just said that the whole vehicle is a place of convergence, the more upstream there are some technologies are classified, relatively speaking, it is possible to do some time stages close to monopoly, but when you want to obtain monopoly benefits, you want to infiltrate the whole vehicle link, it will contradict itself. We see that for example, BYD is making batteries by himself, and at the same time doing the whole car, when he wants to sell his batteries to other automakers, there will be a strategic conflict, people say that you want to compete with me in the vehicle market, and sell my batteries, who will supply your latest products in the future? Or who will be the first to supply when there is a product gap in the future? I'm not saying that there is this problem now, I said that this problem will haunt many people's minds, so in the real situation we see, for example, Bosch, this enterprise in Germany is a very famous auto parts company, his scale is probably not worse than the world's top few car factories, but Bosch's foundation of life he said I will be willing to do the development of all parts on the car, but there is only one thing I do not do, that is, the whole vehicle, because he realizes the inherent contradiction, if he enters the whole vehicle, he will contradict his own business. Speaking of which, when some Internet companies are simultaneously carrying out in-depth self-driving and want to enter the field of vehicles, everyone should think about the strategic confusion I just said.

Second, there is a solution to the strategic confusion just mentioned, unless you can form a monopoly downstream, but can the automotive industry form a monopoly? I don't think so, now we see that the automotive industry is a fully competitive industry, what is the reason? I think it's actually relatively simple to think about, that is, consumers want to have very different differentiated product demands. We now see that the cars on the road are various, more than the refrigerator, color TV combined, but it is a very heavy capital investment link, if you invest in an oem may take tens of billions to produce one or two hundred thousand cars, the world's demand for new cars a year is ten thousand units, if you want to form a monopoly, don't say 50%, you 30%, how much investment is this? When you have such a large amount of investment, and you hope that only a few products will be able to get the largest market sales, but when consumer preferences begin to change, it means that your entire investment thinking has changed. It is precisely because of these confusions that lead to the current format, resulting in the terminal you will find that in fact, everyone wants to form their own share through some differentiation, you want to go one step further, now the world's three largest car factories, each share is about less than 15%, which also shows a big problem.

Just now I want to give these few examples, but also want to share with you, when we make some strategic demands, we still have to return to the origin of the strategy, some of its potential is not reasonable or whether there is a contradiction with the interior. Thank you!

Cui Yan: Thank you! Mr. Zhang talked about his views on this issue from a methodological point of view, and now I will leave the time to Mr. Yuan!

Yuan Jing: First of all, we have to look at what we talk about when we talk about intelligent driving. Intelligent driving from the industrial chain has perception, decision-making, execution, chip design, manufacturing, algorithms, there are different scenarios, commercial vehicles, passenger cars, you ask me if it is possible to be mixed with the entire intelligent driving all the subdivision track can be covered, can do a good job, from our point of view of the input involved in the middle, different human resources, different skills, the requirements of this technology are more differentiated, we think it is not very likely. As for each track and chip, such as some other scenes, whether someone will lead other people for a period of time, this is a very likely thing. As I said just now, the first question is where the boundary of the main engine factory is, and the second question is where the main engine factory does not do, should we have a more open and inclusive attitude, or return to the so-called community of interests, how to keep up with the downstream to make things bigger, to ensure that in the entire industrial chain, the ecological chain everyone can have their due economic returns, which may be more elements.

Cui Yan: Mr. Yuan also made a sharing of the problems that he gradually thought about as an OEM in the future and how to land them. Due to the time relationship, I would like to ask you to make a message to the entire Chinese intelligent automobile industry in one sentence.

Wang Lei: Today is a capital forum, if we really have a message, that is, I hope that when the industry is good, capital is with us, but the industry will be high and low, and at the trough, I also hope that capital will overcome difficulties with us and forge ahead.

Huang Jie: I think very similar to Wang Zong, first of all, I think that the development of automatic driving needs a very large investment, it is certainly indispensable to the support of capital, speaking of messages, I think it is more capital support, better research and development results, pushed to the whole society, serving car owners and users. Thank you!

Fang Zhongyou: Thank you! This year is the first year of automatic driving, automatic driving on the new track, this track is no end, everyone through the strengthening of cooperation is possible to win, today I see most of the domestic national brands, if not cooperation, can not win, this road is very long, very difficult, I think the cooperation to do a good job of division of labor, find a unified language, face consumers and everyone, are on this track to get their own results, thank you!

Xi Zhongmin: From the perspective of industrial development, Chinese capital has a characteristic, from this year or before last year, most of them are cooperating with people around the world, launching a 2.5 strategy, which is basically foreign cooperation. But you can see that this year is a watershed, this year's technical requirements for autonomous vehicles have led the world, you look for foreign suppliers basically no possibility of cooperation, because they can't keep up with the rhythm, this year, no matter from the hardware point of view, including future automatic driving technology, in fact, our partners have turned to domestic partners, including the horizon here, longitudinal, there are many radar, etc., this is a turning point. From foreign to domestic, and this cooperation is globally leading, and the performance is also leading. I think it will be a watershed moment from today, and China's autonomous driving will lead the world from today to do the best in the world. Thank you!

Zhang Ran: I hope to talk about a topic now, saying that it is a bit exaggerated to say that it involves the future of mankind, and all of you here, I think that the entire industry, including China, including the world, in this process, we can only work together, as the previous few people said, to take this road well.

Thank you!

Yuan Jing: Thank you! From our point of view, our company has always emphasized co-creation, not only with users and consumers, but also with the industrial chain, ecosystem, partners of co-creation, from our point of view, co-investment, co-creation, the future of autonomous driving industry, Chinese enterprises will definitely have a place.

Cui Yan: Thank you to all the guests! The last party always mentioned that this change has no end, we also think that the current transformation of the automotive industry should be a marathon without an end, everyone is in it, just now the guests repeatedly mentioned openness, sharing, collaboration, we are also very much looking forward to seeing the Chinese industry chain enterprises can finally win in this marathon, thank you very much for the time of the guests, this round table is now over, thank you!