BYD, a leading Chinese electric vehicle manufacturer, has taken a bold step by introducing advanced driver-assistance capabilities in vehicles priced under 70,000 yuan. The new system, named "DiPilot," will be available across BYD's range of cars, including a model priced at 69,800 yuan ($9,555). This innovation marks BYD as the first automaker in China to offer such advanced technology at an affordable price point. The system leverages a mix of software, artificial intelligence, and sensors to minimize human intervention in driving.
BYD has partnered with Chinese startup DeepSeek to integrate cutting-edge artificial intelligence into the most advanced version of DiPilot. Analysts have acknowledged that this collaboration significantly enhances BYD's competitive edge in the market.
"The DeepSeek integration is very significant," said Tu Le, founder and managing director of Sino Auto Insights.
The excitement surrounding BYD's technological advancements has been reflected in its stock performance. On Tuesday morning, shares of BYD rose over 4%, reaching an all-time high of 345 Hong Kong dollars ($44.24). This surge follows a 21% increase last week, driven by anticipation for BYD's event on February 10.
BYD's founder and chairman, Wang Chuanfu, emphasized the importance of advanced smart driving as a future standard safety feature, akin to seatbelts and airbags. This strategic shift represents a significant upgrade from BYD's previous cautious approach to autonomous driving technology. More than 20 vehicle models equipped with the new driver-assistance tech were launched on Monday.
In the competitive landscape of driver-assistance technology, Chinese startup Xpeng was an early adopter. Xpeng introduced driver-assist features for urban roads in Guangzhou in September 2022 and expanded to Shenzhen and Shanghai by early 2023. By February 2024, their technology was operational across most of China. Other competitors, such as Li Auto, Huawei partners, Nio, and Xiaomi, also offer some driver-assistance functions, including automatic parking.
Despite these advancements, Tesla faces hurdles in China with its most advanced driver-assistance system, "Full-Self Driving." The system has not yet received approval from Beijing due to restrictions that impede the development of a compliant version within China.
"This puts BYD firmly back in the driver's seat dictating the pace," remarked Tu Le from Sino Auto Insights.
Nomura analysts noted that BYD is shifting its competitive strategy from last year's price-cutting to enhancing functional upgrades by 2025. However, there are concerns about potential challenges for BYD in entering Western markets.
"This increases the likelihood that BYD vehicles will face more difficulties entering Western markets like the U.S. due to national security reasons," stated Brian Tycangco, an analyst at Stansberry Research.