Future car presentations, R&D and manufacturing models will all be challenged


Dongfeng hand in hand Huawei's Internet "infighting" upgrade in the increasingly heated automobile interconnected "river", another pair of newcomers join the war.

Recently, Dongfeng Motor Corporation (hereinafter referred to as "Dongfeng Motor and Huawei Technologies Co., Ltd." (hereinafter referred to as "Huawei") signed a strategic cooperation agreement in Wuhan. Both parties will collaborate on innovations in the areas of automotive electronics, smart cars, and IT/ICT informatization. To start cross-border cooperation.

In fact, in the era of big data, the intelligence of the automotive industry has also set off a wave of competition. Analysts believe that the future car presentation, R&D and manufacturing model will all face challenges. Prior to this, SAIC, BAIC, Changan and other domestic auto brands have already joined the smart car camp. This time, Dongfeng teamed up with Huawei to find out how to differentiate.

Strategic alliance

"During this strategic cooperation with Huawei, Dongfeng Motor focuses on the integration and application of products. Huawei focuses on the development and production of products." Wang Binbin, Deputy Director of Strategic Planning Department of Dongfeng Motor Co., Ltd., in an interview with the "China Business" reporter Indicated.

According to its introduction, the future cooperation between the two sides in the automotive field includes related products such as on-board electronic products, vehicle networking, and intelligent vehicles, as well as on-board communication equipment products and solutions that represent future directions. The cooperation steps are divided into three phases. In the early stage, Huawei developed WindLink products and services for Dongfeng. After that, the two parties jointly plan future cooperation products in the networking of vehicles. In the later period, both parties will jointly develop smart vehicles.

In fact, as early as 2010, Dongfeng and Huawei began to cooperate in video conferencing systems. In the future, Dongfeng will cooperate with Huawei in the areas of big data centers, storage services, information, consulting and planning, and security. However, due to the strategic cooperation agreement signed between Dongfeng and Huawei, it did not disclose specific details of the cooperation, and the amount of funds and development goals.

"Although this signing body is Dongfeng Fengshen, the future cooperation with Huawei is carried out at the level of the whole group," said Wang Binbin. Compared with the cooperation model of auto companies and internet companies in the automotive industry, the cooperation between Dongfeng and Huawei emphasizes the concept of “joint development”.

“Huawei is not a simple product provider.” Dongfeng insiders said that Dongfeng will put forward demand for vehicle technology in the future, and in the development process, both parties will jointly set up development tasks, including the technical personnel of both parties in the daily technical exchange process. Participate in the joint ownership of intellectual property rights.

"The mobile Internet era will become the fifth screen after computers, smart phones, tablets, and smart TVs. Big data technology will enrich the business model of auto development, from research and development, production, logistics, marketing to all aspects of the post-market, automotive The development of the ecosystem will also be rebuilt,” said Zhu Fushou, general manager of Dongfeng Motor Corporation.

Interconnected lakes

In fact, the cooperation between Dongfeng and Huawei is only a microcosm of the competition of domestic auto companies in the field of car networking in recent years. As GM Anjixing, Toyota G-BOOK, Nissan Carwings, etc. are popular in the domestic and foreign markets, automakers of their own brands have also started to enter the automobile interconnection and smart car fields.

Prior to this, independent auto makers of Chery, SAIC, Chang'an, and FAW, etc., have all been in advance. In 2011, Chery and South Korea’s SK Telecom jointly established the “Joint Vehicle Laboratory”; in August this year, SAIC and Alibaba also signed the “Internet Car” strategic cooperation agreement. Both parties stated that they will actively carry out “Internet car” and Cooperation in the field of related application services; during the same period, BAIC also announced that it will discuss strategic cooperation with LeTV.

"BYD has related plans in the Internet field. At the moment, the impact of the Internet on the car is all-sided, including insight and understanding of consumer demand." BYD President Wang Chuanfu said on a few days ago that any industry is based on certain information methods. As a result, changes in information methods will bring about changes in the industrial structure and even revolutionary changes.

Li Shufu, chairman of Geely Group, holds the same view. “In the past, I often said that the car was four wheels plus two sofas. In fact, there is nothing wrong with this statement, but after years of practice and development, automotive technology has progressed. "Li Shufu said that the future of the car is four wheels plus the vehicle's green power, plus the computer, automatic charging, automatic driving, automatic detection and other aspects of interconnection.

Some analysts believe that, as a whole, the current development of the domestic automotive smart interconnection field is an automotive electronic information system device independently used in the automotive environment, including automotive information systems, navigation, entertainment, automotive communications and other systems. From the perspective of specific application areas, the current automotive electronics products are mainly concentrated in three areas: digital dashboards, information and entertainment center consoles that can realize mobile internet, and autonomous driving and auxiliary vehicle driving systems.

Transformation is on the way

However, although almost all car companies believe that the automotive Internet sector is another strategic "position" for the auto industry competition, this does not mean that the car interconnection technology for car companies' "feedback" is at this moment. Some analysts believe that there are many technologies involved in the automobile interconnection field, but they will also increase the corresponding costs while providing convenience and smart experience for the car and the driver.

“For example, the on-board information system used in most automobiles now uses a 7-inch screen, which has a low cost. The Huawei WindLink system on the Aeolus AX7 uses a 9-inch screen, which costs a lot. It will be used in the future. The 12-inch screen will be twice as expensive as the 9-inch screen," said Wu Zemin, director of the electronic and electrical department of Dongfeng Motor Corporation's technology center.

At the same time, compared with multinational car companies, the domestic Internet brands including Dongfeng have a slower Internet layout. In early October of this year, General Motors revealed that by the end of the year, more than 30 models equipped with 4G Internet access systems will be launched in North America. Two years later, GM’s 2017 Cadillac CTS will enable car-to-car interconnection dialogs to significantly reduce the risk of collisions.

Earlier, in addition to making breakthroughs in driverless cars, Google has also started open cooperation on Internet cars. In March, Apple announced that it will cooperate with Ferrari, Mercedes-Benz and Volvo to launch CarPlay services in the car; BMW, Ford, GM, Honda, Hyundai, Toyota and other companies will also launch CarPlay. Some analysts believe that the combination of the Internet and intelligence has become the biggest hot spot for car competition. Chinese car companies must quickly adjust traditional car builder concepts and modes of thinking, instead of simply affixing stylish tags to Internet applications.

Of course, for more self-owned brand car companies, entering the automotive Internet sector is more focused on future development. Zhu Fushou believes that the current automotive industry in China is facing the last opportunity period and the last critical period for transformation. The new technology spans more extensively, and the entire chain technology of the information and communication industry is incorporated into automobiles and vehicles. The giants of traditional car companies must have a cross-border open mind.

Judging from the current situation, whether it is Dongfeng’s cooperation with Huawei or SAIC and Alibaba, which has previously attracted the attention of the industry, the cooperation of domestic auto brands in the field of automobile interconnection is still at a preliminary stage.

In the follow-up, whether domestic self-owned brand car companies can rely on investment in the automotive Internet sector to achieve the next round of “same-same sports” with multinational car companies still depends on the follow-up operational capabilities of these car companies.


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