In the face of adversities within the autonomous vehicle market, car manufacturers are not hitting the brakes. Rather, they’re zeroing in, adopting more focused and streamlined strategies, deeply rooted in core technologies.

Eager to expedite the mass-scale rollout of Robotaxis, Tesla recently announced an acceleration in the development of their Dojo supercomputer. They are now committing an investment of $1 billion and set to have 100,000 NVIDIA A100 GPUs ready by early 2024, potentially placing them among the top five global computing powerhouses.

While Tesla already boasts a supercomputer built on NVIDIA GPUs, they’re still passionate about crafting a highly efficient one in-house. This move signifies that computational capability is becoming an essential arsenal for automakers, reflecting the importance of mastering R&D in this regard.

HPC Fosters Collaboration in the Car Ecosystem

According to forecasts from TrendForce, the global high-performance computing(HPC) market could touch $42.6 billion by 2023, further expanding to $56.8 billion by 2027 with an annual growth rate of over 7%. And it is highly believed that the automotive sector is anticipated to be the primary force propelling this growth.

Feeling the heat of industry upgrades, major automakers like BMW, Continental, General Motors, and Toyota aren’t just investing in high-performance computing systems; they’re also forging deep ties with ecosystem partners, enhancing cloud, edge, chip design, and manufacturing technologies.

For example, BMW, who’s currently joining forces with EcoDataCenter, is currently seeking to extend its high-performance computing footprint, aiming to elevate their autonomous driving and driver-assist systems.

On another front, Continental, the leading tier-1 supplier, is betting on its cross-domain integration and scalable CAEdge (Car Edge framework). Set to debut in the first half of 2023, this solution for smart cockpits offers automakers a much more flexible development environment.

In-house Tech Driving Towards Level 3 and Beyond

To successfully roll out autonomous driving on a grand scale, three pillars are paramount: extensive real-world data, neural network training, and in-vehicle hardware/software. None can be overlooked, thereby prompting many automakers and Tier 1 enterprises to double down on their tech blueprints.

Tesla has already made significant strides in various related products. Beyond their supercomputer plan, their repertoire includes the D1 chip, Full Self-Driving (FSD) computation, multi-camera neural networks, and automated tagging, with inter-platform data serving as the backbone for their supercomputer’s operations.

In a similar vein, General Motors’ subsidiary, Cruise, while being mindful of cost considerations, is gradually phasing out NVIDIA GPUs, opting instead to develop custom ASIC chips to power its vehicles.

Another front-runner, Valeo, unveiled their Scala 3 in the first half of 2023, nudging LiDAR technology closer to Level 3, and laying a foundation for robotaxi(Level 4) deployment.

All this paints a picture – even with a subdued auto market, car manufacturers’ commitment to autonomous tech R&D hasn’t waned. In the long run, those who steadfastly stick to their tech strategies and nimbly adjust to market fluctuations are poised to lead the next market resurgence, becoming beacons in the industry.

For more information on reports and market data from TrendForce’s Department of Semiconductor Research, please click here, or email Ms. Latte Chung from the Sales Department at lattechung@trendforce.com

(Photo credit: Tesla)

According to a report by TechNews, it’s widely known that Apple has been quietly working on a not-so-secretive project known as “Project Titan,” which is centered around the development of the Apple Car. As per Autoevolution, the Apple Car might become the first vehicle to feature a Micro LED display. At the same time, TrendForce’s latest research indicates that Micro LED displays are set to become widely adopted in the automotive industry during the latter half of this century.

However, the exact unveiling date of the Apple Car remains unconfirmed. The most recent speculation suggests that this electric vehicle model could be launched in 2025 or 2026.

Apple has long aimed to incorporate Micro LED technology into its products. Initially, it was thought that the Apple Watch would be the first Apple product to adopt a Micro LED display. However, due to supply chain adjustments, the transition of the Apple Watch from OLED to Micro LED might be delayed until 2026, while Apple initially planned to introduce Micro LED technology to its watches by 2025.

Although the timeline for Micro LED introduction in the Apple Watch has been pushed to 2026, that year might witness widespread Micro LED adoption across various Apple products, including headsets, smartphones, and automotive applications.

Once Micro LED technology finds its way into the Apple Car, it’s expected to trigger emulation within the automotive industry, leading to the widespread integration of Micro LED technology in future vehicle models. TrendForce suggests that car manufacturers in Europe, America, and Japan show considerable enthusiasm for adopting Micro LED.

But what benefits does Micro LED bring to automotive applications? It’s understood that Micro LED can reduce power consumption, enhance brightness, and offer reliability. Considering the significant performance improvements and the push toward electric vehicles, once Micro LED’s benefits are demonstrated in automotive contexts, car manufacturers are expected to embrace it on a large scale.

However, the exact launch date of the Apple Car remains uncertain. While there were earlier speculations of a possible 2025 release, insiders now suggest Apple has pushed the launch to 2026. Though Apple initially had ambitious goals for Project Titan, the first Apple Car might adopt a more traditional design than initially envisioned, including features like a steering wheel and pedals.

Rumors suggest Apple’s ultimate goal for the Apple Car is to transform the cabin into a living room-like environment, with the aim of removing the steering wheel and pedals to achieve full self-driving capabilities. However, the initial Apple Car might showcase limited autonomous driving features and share design similarities with existing Tesla models.

(Photo credit: AUO)

According to sources familiar with the matter within Xiaomi, as cited by Chinese media outlet Jiemian News, the Xiaomi electric vehicle that has been spotted multiple times on the roads has finalized its battery supplier list. Both selected suppliers are Chinese companies. The primary battery supplier is set to be CALB, while the secondary supplier is the well-known CATL.

Reports indicate that Xiaomi initially planned to have CATL as the primary supplier, but there was a change of plan. This change could be attributed to the conclusion of patent disputes between CATL and CALB regarding lithium-ion batteries, cathode electrode sheets, and battery-related patents. The National Intellectual Property Administration invalidated the two aforementioned patents held by CATL, allowing CALB to re-enter the market with competitive pricing against CATL.

The report mentions that Xiaomi’s initial electric vehicle production volume is relatively low, which limits its bargaining power. The cost per battery pack starts at 80,000 RMB, accounting for approximately half of the overall cost. The proportion of supplies from the primary and secondary suppliers will reportedly be adjusted based on Xiaomi electric vehicle’s actual sales after its launch. The report also highlights the possibility of Xiaomi introducing additional battery suppliers like BYD through an open bidding process to lower battery costs and enhance bargaining capabilities in the future.

(Photo credit: Xiaomi FB)

At an online investor meeting, Foxconn Group’s Chairman Young Liu shared insights on the company’s current endeavors. He disclosed that the group is in discussions with over 10 clients on 20 electric vehicle (EV) collaboration projects. Out of these, two projects are already in production, and five more are likely to result in contracts. Additionally, Foxconn’s electric vehicle platform, Model C, is on track for mass production in Taiwan in the fourth quarter. Analyzing the information released during the meeting, TrendForce offers the following insights:

• Foxconn’s Electric Vehicle Platform Outsourcing Model Builds a Self-Sufficient Ecosystem

Electrified vehicle platform manufacturing enables various components to be categorized into several platform types based on vehicle segments, avoiding the chaotic scenario of each car having unique specifications. This modular approach enhances the utilization of interior space and promotes advancements in battery life and future advanced driving control designs. Consequently, various automakers are introducing new energy vehicle platforms.

However, initial investments in platform development can be burdensome for automakers. Moreover, integrating new EV technologies into platforms poses potential risks. Foxconn’s EV platform, by adopting an ‘outsourced’ manufacturing concept, reduces initial resource expenditures for automakers and accelerates market entry for EV models.

Foxconn also presents the concept of MIH, a membership-based industry cluster, which gathers around 2,400 suppliers spanning battery, motor, and control systems, building a comprehensive EV platform ecosystem.

• Correct Market Approach Yet Missing a Vital Catalyst

Foxconn, not opting for a fully proprietary brand, draws lessons from Taiwan’s automotive brand history. Building on years of contract manufacturing, the company ventures into the EV market, positioning itself ahead of the curve.

However, with the rapid global development of electric vehicles, the early advantages Foxconn established face challenges. The Volkswagen MEB platform successfully produced the Ford Explorer, hinting at potential collaborations through platform sharing. Audi is reportedly considering direct acquisition of a Chinese new energy vehicle platform. The common theme here is that traditional automakers seem inclined to collaborate with proven counterparts, showcasing the cautious approach toward platforms. At this stage, while Foxconn’s promising achievements might attract certain startups, their stability and market scale might not fully align with Foxconn’s EV market expectations.

Foxconn is well-prepared but awaits a catalyst. The company currently lacks the support of established automakers like GM, BMW, and Stellantis. If the projects mentioned during the investor meeting involve collaborations with such established players and secure manufacturing contracts, Foxconn’s model will foster a more diversified evolution in future EV platform collaborations.

(Photo credit: Foxconn)

The global automotive landscape is undergoing a decisive shift toward new energy vehicles (NEVs). TrendForce reports that in 1H23, NEV sales—which encompass battery electricity vehicles (BEVs), plug-in hybrid electric vehicles (PHEVs), and fuel cell electric vehicles (FCEVs)—soared to an impressive 5.462 million units, reflecting a growth of 33.6% YoY. Specifically, Q2 sales reached 3.03 million units, a 42.8% YoY surge, constituting 14.4% of total car sales for the period, and playing a pivotal role in 1H23 growth.

In Q2, BEVs alone posted sales of 2.151 million units, marking 39.3% growth YoY. While Tesla maintains the lead with a market share of 21.7%, BYD trails closely behind with a boosted share of 16.2%. Moreover, GAC Aion, a brand that has been making waves primarily in the Chinese market with its high value-for-money proposition, clinched the third spot with a 6% market share. Recently, the company has launched high-end models priced above CNY 220,000, aiming to diversify its product range. The top 10 BEV brands in Q2 remained fairly consistent with Q1, with only a minor shuffling in ranks. However, compared to the same period in 2022, fewer Chinese brands made the list, likely due to the growing number of EV models from traditional automakers and fierce competition among Chinese brands.

PHEVs weren’t left behind, registering sales of 876,000 units in Q2—a striking 52.9% YoY increase. Astonishingly, about 66% these sales hailed from the Chinese market. In this segment, BYD continued its lead with a whopping 36.5% market share. Its high-end subsidiary Denza, recorded increasing sales, escalating its market share to 3.4% and climbing to seventh place. Another brand to watch, Li Auto, set a new Q2 record with 87,000 units sold, keeping its second-place position firm with 10% market share. Among international competitors, both Volvo and Jeep noted growth over the previous year, with Jeep crossing 30,000 units, an achievement that’s brought them into the top five for the first time.

While major markets including China, Western Europe, and the US continue to dominate NEV sales, emerging players like Thailand and Australia have made significant strides in 2023. Both nations exceeded 35,000 units in sales in 1H23, with Thailand quadrupling its 2022 figures and Australia experiencing a fivefold increase.

Although these figures are modest in comparison to global sales, they highlight the vast potential of these markets. Recognizing this growth trajectory, many major automobile brands are strategically planning their expansions into these burgeoning regions.