XPeng Motors proclaims new AI-centric model focusing on EVs priced as low $14,000

Main Chinese language EV automaker XPeng Motors has publicly shared plans for a brand new EV model to ship inexpensive, AI-driven good vehicles to younger shoppers. Concentrating on China’s A-class phase of EVs priced between RMB 100,000-150,000, XPeng’s new model might assist pave the best way for extra inexpensive EVs across the globe.

XPeng Motors ($XPEV), though nonetheless comparatively younger within the automotive trade, sits as a veteran in Chinese language EV growth and the adjoining applied sciences that help electrical mobility.

Along with designing, growing, and manufacturing its personal EV {hardware} and top-tier ADAS software program, the XPeng umbrella additionally develops charging expertise, robots, and even has its personal superior air mobility (AAM) arm referred to as AeroHT – which is growing eVTOLs and precise flying vehicles.

Such investments are beginning to repay as nicely. XPeng Motors just lately posted its This autumn 2023 gross sales numbers which included report revenues, considerably decrease web losses, and an upward tick of gross margins into constructive territory.

With expansions to new markets like Europe, Egypt, and the Center East persevering with in 2024, XPeng Motors has introduced a brand new EV model that can initially launch in China, and its focused pricing is tough to not get enthusiastic about.

New XPeng model to supply “AI-driven consumer expertise”

XPeng Motors shared particulars of the brand new EV model earlier in the present day, which arrives as a end result of beforehand laid plans for brand new car applied sciences. Throughout its annual 1023 Tech Day 2023, XPeng expressed a dedication to deploy extra AI in its mass-produced EVs, together with cognitive assistant capabilities.

Throughout the current China Electrical Automobile 100 Summit, XPeng Chairman and CEO He Xiaopeng shared large plans for the automaker’s “AI-enabled good driving” expertise, vowing to speculate RMB 3.5 billion (~$492M) in 2024 alone towards the R&D of synthetic intelligence and the firing of 4,000 new staff.

Right now we’ve realized XPeng’s AI and ADAS expertise received’t simply be featured on its namesake EVs however in a brand new, extra inexpensive model as nicely. The unnamed sub-brand will launch in China quickly, though XPeng says it is going to “create a brand new breed of AI-powered Good EVs for younger prospects worldwide.”

XPeng’s Chairman and CEO just lately mentioned the following decade of EVs will likely be one among intelligence and good driving expertise. As such, the brand new model will ship AI-centric tech at an inexpensive value for all, focusing on RMB 100,000-150,000 ($14,000-$21,000). Per XPeng’s launch:

Automobiles priced between 100,000 to 150,000 yuan have lengthy been the mainstream alternative for Chinese language shoppers. With over 8 million vehicles offered yearly, this value phase possesses considerable market demand, sturdy growth potential, and growing market share. In keeping with information from the China Passenger Automobile Affiliation, in 2023, the market share of automobiles priced between 100,000 to 150,000 yuan accounted for roughly 34% of the market, in comparison with about 31% in 2022. On the similar time, the penetration fee of latest vitality automobiles on this value vary can be constantly growing. Nonetheless, there are few merchandise on this market phase that provide good driving capabilities, not to mention AI-driven good driving.

With its new model, XPeng intends to faucet into a well-liked EV phase in China and attempt to dominate by offering expertise and good driving capabilities that buyers usually don’t acquire entry to at that value level.

This seems to start with a lone EV mannequin (teased above), however XPeng says its new model will proceed to introduce a number of fashions with various ranges of clever driving capabilities. We might very nicely see this new marque ultimately increase past China, as XPeng is already describing it as an ” entry into a brand new stage of multi-brand international strategic operation.”