Huawei has made another significant step toward realizing its automotive goals with the establishment of a distinct car division in Shenzhen, China.
Shenzhen Yinwang Intelligent Technology Co Ltd was founded by the corporation with aim of producing and marketing equipment and systems for intelligent cars.
The company was founded with a 1 billion yuan ($140 million) starting capital and is located at the same address as Huawei, which has increased its automotive aspirations over the last three years, reaches yet another significant milestone.
Huawei used to be a massive IT and telecom company that sold network equipment, cellphones and other consumer goods.
It has, however, made no secret of its desire to return, introducing the Luxeed S7 and Aito M9 last year, as well as its first battery powered vehicle in 2021.
The world’s largest auto market, China, is already congested and witnessed a pricing war as result of intense rivalry and high inventories. The new cars have added to this market.
A subsidiary of state-owned Changan car maker in China said in November 2023, that it had joined forces with Huawei to establish a new business that would offer smart car technology.
The company intends to invest up to 40% in the company in an effort to advance its vision of becoming a tech-driven, low carbon transportation enterprise.
Smart are becoming more popular as tech companies collaborate with automakers more frequently.
Smart automobiles feature sophiscated electronics and software systems.
With the Ministry of Industry and Information Technology releasing draft rules to standardize the nation’s AI industry, China is rapidly developing advanced technology, including Artificial Intelligence.
