BYD equipped tiny vehicles with an aid system as well.
China's leading electric vehicle manufacturer, BYD, is set to revolutionize the industry by incorporating its advanced driver assistance system, "God's Eye," into more affordable variants. Currently, only higher-priced models have benefited from this feature, priced at around 29,000 euros. However, BYD is planning to extend this luxury to three models priced under 100,000 yuan (approximately 13,280 euros), including their compact car, the Seagull, retailing at around 9,300 euros in China.
Analysts predict this move will trigger a new price war among competitors. The inclusion of "God's Eye" in every model priced above 100,000 yuan was confirmed by BYD founder Wang Chuanfu during a livestream from Shenzhen. The system enables highway driving under driver supervision.
Until now, "God's Eye" was exclusive to BYD's pricier vehicles. Tesla, for instance, features these features in its Chinese electric vehicles from 32,000 USD. Premium German manufacturers like BMW and Mercedes-Benz only offer such advanced technology in their luxury models due to high costs.
Wang envisions intelligent driving features becoming as essential as seat belts and airbags. "I believe that intelligent driving will become the new hallmark of Chinese cars." BYD's strategy is to make cutting-edge technology accessible to the masses, argues industry expert Yale Zhang, CEO of Automotive Foresight. "The technology doesn't have to be high-end; they can engage in a price war here."
This move could offer BYD new growth avenues for revenue, as the highly-saturated market demands innovative strategies. In recent years, BYD has been a prominent participant in China's intense price war, notably lowering the prices of best-selling models like Dynasty and Ocean.
Competitors may struggle to keep up. Since 2020, BYD has driven down prices of its most popular models, leading the price war in China, the world's largest auto market.
Enrichment Data:
- Democratization of ADAS Technology: BYD's move to equip affordable models with advanced driver assistance technologies could make such features more mainstream and accessible to a broader audience.
- Price Competition: By offering ADAS features in lower-priced vehicles, BYD is challenging competitors like Tesla and luxury EV brands to provide similar affordability.
- Market Disruption: The widespread availability of "God's Eye" across various price points could disrupt traditional premium pricing strategies in the luxury EV market.
- Technological Advancement: BYD's use of advanced LiDAR sensors and computing power in "God's Eye" sets a new benchmark for the industry, encouraging other manufacturers to invest in AI and sensor technologies.
- Consumer Perception: BYD's adoption of smart driving features in affordable vehicles could change consumer perceptions, boosting demand for similar technologies in the market.
- Regulatory Compliance: BYD's "God's Eye" system's ability to support autonomous driving in various conditions could influence regulatory standards, potentially driving stringent requirements for ADAS features in all vehicles.
The democratization of ADAS technology by BYD, as seen in their plans to incorporate 'God's Eye' into more affordable models, could potentially make advanced driver assistance systems more common in the automotive industry. This move could spark a new wave of price competition among competitors, including Tesla and luxury EV brands, to match BYD's affordability.
