Li Auto Selects Hesai as LiDAR Supplier for its Flagship MPV Li MEGA

Rhea-AI Summary

Li Auto Inc. introduces Li MEGA, its first high-voltage battery electric vehicle, equipped with Hesai Technology's LiDAR AT128. The L8 and L7 Pro models will also feature Hesai LiDAR as standard, enhancing intelligent driving capabilities. The partnership aims to revolutionize MPVs with advanced safety features and innovative design.

Market Research Analyst

The integration of LiDAR technology as a standard feature in Li Auto's new L series models represents a significant advancement in the electric vehicle (EV) sector. This move by Li Auto not only enhances the vehicle's safety profile but also positions the company as a front-runner in the adoption of autonomous driving capabilities. From a market perspective, this could potentially increase the brand's appeal to safety-conscious consumers and tech enthusiasts, thereby expanding its customer base.

Furthermore, the collaboration with Hesai Technology could be indicative of a strategic partnership that may lead to cost efficiencies and technological synergies. As LiDAR technology becomes more commonplace, economies of scale could reduce the overall cost of production for Li Auto, potentially improving their profit margins over time. This could be an attractive point for investors looking at long-term growth potential in the EV market.

Financial Analyst

Li Auto's announcement may have a tangible impact on the company's financial health and stock performance. By incorporating Hesai's LiDAR into their L series, Li Auto is likely to see an increase in production costs due to the high price of LiDAR units. However, this cost could be offset by the premium pricing of these high-tech vehicles or through increased sales volume driven by differentiated product offerings.

Investors should monitor the adoption rate of the new L series models, as it will be a critical indicator of the market's reception to these technological enhancements. Strong sales could lead to a positive revision of revenue forecasts and potentially elevate the company's stock price. Conversely, if the market is not willing to absorb the additional cost for advanced safety features, Li Auto may need to adjust its pricing strategy, which could impact margins and investor sentiment.

Automotive Industry Expert

LiDAR technology is a key enabler of advanced driver-assistance systems (ADAS) and autonomous driving. The decision by Li Auto to include LiDAR as a standard feature is a bold move that underscores the company's commitment to leading in intelligent driving technology. This could set a new industry benchmark for safety and performance features in the MPV segment.

The adoption of urban Navigation on AutoPilot (NOA) is particularly noteworthy, as it suggests that Li Auto is targeting not just highway autonomous driving but also complex urban environments. This could give the company a competitive edge in urban centers, where traffic conditions are more challenging and the demand for advanced driving assistance is likely to be higher.

It's essential to consider the potential impact on Li Auto's supply chain and the need for continuous innovation to maintain a technological lead. The company's reliance on Hesai's cutting-edge LiDAR could also raise questions about supplier risk and the importance of maintaining strong partnerships in the rapidly evolving EV market.

L series upgrade to have lidar as standard configuration

PALO ALTO, Calif., March 6, 2024 /PRNewswire/ -- Li Auto Inc. (Nasdaq: LI), a leader in China's electric vehicle market, recently launched Li MEGA, its first high-voltage battery electric vehicle. The company's high-tech flagship multi-purpose vehicle (MPV) is equipped with Hesai Technology's (Nasdaq: HSAI) ultra-high-definition long-range LiDAR AT128, which allows for a full suite of intelligent driving capabilities.

Li Auto's L8 and L7 Pro models will also feature Hesai LiDAR as a standard configuration with an urban Navigation on AutoPilot (NOA) function that allows drivers to enjoy the comfort and convenience of safe, intelligent driving. This technology greatly improves intelligent driving systems' obstacle detection, enabling vehicles to quickly respond to unpredictable road conditions.

"When it comes to safety, only the best is good enough," a Li Auto spokesperson commented. "Hesai played a major role in bringing our autonomous driving suite to life and Li MEGA will bring a new standard of technological advancements to the MPV market."

With its unique and innovative design, Li MEGA reimagines the future of MPVs and expands upon the comfort and outstanding performance Li Auto is known for.

"At its core, Hesai is a safety company, and we are thrilled to partner with Li Auto to bring a best-in-class EV autonomous experience to driving enthusiasts of all kinds," a Hesai executive shared. "We look forward to continuing to advance vehicle innovation and safety together."

Over the last year, Hesai and Li Auto have achieved impressive growth together, working to push the boundaries of intelligent driving and improve road safety for all.

About Hesai Technology

Hesai Technology (Nasdaq: HSAI) is a global leader in LiDAR solutions. The company's LiDAR products enable a broad spectrum of civilian applications, including passenger and commercial vehicles with Advanced Driver Assistance Systems (ADAS), autonomous driving vehicles, and robotic applications such as last-mile delivery robots and Automated Guided Vehicles (AGVs). Hesai seamlessly integrates its in-house manufacturing process with LiDAR R&D and design, enabling rapid product iteration while ensuring high performance, high quality, and affordability. Hesai has established offices in Shanghai, Palo Alto, and Stuttgart, with customers spanning over 40 countries.

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SOURCE Hesai Group

What is the name of Li Auto Inc.'s first high-voltage battery electric vehicle?

Li Auto Inc.'s first high-voltage battery electric vehicle is named Li MEGA.

What technology is Li MEGA equipped with?

Li MEGA is equipped with Hesai Technology's ultra-high-definition long-range LiDAR AT128.

What function does the urban Navigation on AutoPilot (NOA) feature provide in Li Auto's L8 and L7 Pro models?

The urban Navigation on AutoPilot (NOA) function in Li Auto's L8 and L7 Pro models allows drivers to enjoy safe, intelligent driving.

What is the goal of the partnership between Li Auto Inc. and Hesai Technology?

The partnership aims to revolutionize MPVs with advanced safety features and innovative design.

What has been the focus of Hesai Technology in its collaboration with Li Auto Inc.?

Hesai Technology has focused on advancing vehicle innovation and safety in collaboration with Li Auto Inc.