The electric vehicle (EV) market is witnessing an unprecedented surge as companies innovate and re-evaluate their strategies amidst technological advancementsOne dramatic instance occurred on February 14, when shares of a self-driving technology company skyrocketed by 140%, causing trading halts twice in the dayThis sudden shift was propelled by NVIDIA’s stake in the company, which sent shockwaves through the market and raised eyebrows globally.

Interestingly, NVIDIA's foray into self-driving technology was more of a serendipitous venture rather than a full-scale investment strategyIn contrast, one notable player in the Chinese automotive arena, GAC Group, has systematically built a robust empire dedicated to intelligent driving technologyOnly a few years ago, GAC didn’t garner mainstream attention, but its strategic investments have positioned it as a formidable entity in the automotive tech landscape.

Analyzing NVIDIA's recent financial disclosures reveals it holds approximately 1.74 million shares in the mentioned technology firm, with a market value merely in the tens of millions of dollars—a drop in the bucket compared to GAC's massive multi-faceted investment strategyIndeed, GAC has participated in multiple financing rounds of this self-driving company, culminating in a robust partnership that has proven to be mutually beneficial.

GAC's investment strategy has extended beyond one or two popular firms; it has actively fostered over 50 tech firms specializing in various critical facets of autonomous drivingThis spans the entire value chain—from robotaxi operations to laser radar technology and AI chip developmentKey players such as Horizon Robotics, SpeedFusion, and Pony.ai have emerged from GAC’s expansive investment portfolio, illustrating the company's commitment to vertical integration within the smart driving domain.

Moreover, the quality of GAC's investments is noteworthy

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For example, Horizon Robotics stands out as the only domestic provider in China's top five suppliers of advanced driver-assistance systems (ADAS). In the highest-tier driving computation market for passenger vehicles, Horizon holds a 35% market share, just trailing behind NVIDIA’s 49%. The company is on track to surpass Mobileye in the autonomous driving computation segment among Chinese brands, marking it as a leader in homegrown technology.

Another compelling case is SpeedFusion, which, according to recent reports, has secured the top spot globally in market share for lidar systems—essential ingredients for autonomous vehiclesTheir cutting-edge technology reduces cost and enhances precision, making it an outstanding asset in GAC's lineup of investments.

Pony.ai is remarkable for its pioneering work in fully autonomous driving technology, having secured licenses for robotaxi operations in major cities like Beijing and ShanghaiWith GAC’s backing, Pony.ai stands at the forefront of commercialization in the autonomous vehicle sector in China, quickly evolving into a billion-dollar enterprise.

As the discourse on electric vehicles advances, an undeniable shift is occurring—moving from the mechanics of electrification to the realms of smart technologyIn this grand transformation, GAC Group holds valuable assets that position them ahead of the curveThe signs of intelligent driving capabilities have crystallized into concrete consumer demand, as recent surveys indicate that consumers prioritize advanced self-driving features over safety and range in their vehicle purchasing decisions.

According to insights from McKinsey, among factors influencing Chinese consumers to buy premium electric vehicles, advanced autonomous driving features ranked highest, accounting for about 65% of the decision-making process, followed closely by modern in-car experiences at 62%. This paradigm shift emphasizes the significance of intelligent functionalities as a focal point of consumer interest.

On the supply side, remarkable enhancements in technology and declining costs bolster the intelligent driving movement

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Take Tesla as an example: over the past decade, it has rapidly evolved its perception network from conventional models to more sophisticated, integrative systems designed to refine their autonomous driving capabilities drastically.

Moreover, the cost of core technologies, such as lidar, has been slashed practically by 90% over just four yearsOnce a luxury item reserved for high-end models, lidar technology is creeping into more common vehicles, broadening access to state-of-the-art driver-assistance systems for the average consumer.

Research indicates that nearly 60% of vehicles produced by leading new energy vehicle firms now feature lidar, showcasing its ascent to ubiquity even in affordable models like the Leap Motor C10. By the end of the third quarter in 2024, deliveries of lidar-equipped mass production models are projected to hit an astounding 1 million units, doubling previous figures.

The emergence of DeepSeek—a groundbreaking AI technology—exemplifies how the intelligent driving landscape is rapidly transformingIt offers performance comparable to expensive models at just a fraction of the cost, signalling a disruptive shift in the AI ecosystemAutomakers are collectively adopting this technology, further driving down costs associated with intelligent driving infrastructure.

As the intersections of market demand, technological progress, and costs continue to converge, we can anticipate a pivotal moment for intelligent drivingThis transition is set to reshape the competitive landscape fundamentally and enhance GAC’s valuation amid growing investor interest in the sector.

Indeed, we are witnessing a vital moment of asset revaluation as the intelligent automotive era dawnsGAC Group stands at this transformative frontier, set to benefit from enhanced core competitiveness in its vehicle business and the potential to amplify overall asset quality and growth.

Equipped with an array of intelligent driving partnerships, GAC has seamlessly accessed cutting-edge technology, allowing it to implement advanced innovations earlier than its competitors

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A notable example is the collaboration with the various tech firms that have contributed to launching China’s first Level 4 autonomous taxi in 2018. By establishing a fleet of robotaxis, GAC is proving instrumental in shaping the commercial future of autonomous transportation.

Consequently, GAC Group finds itself among the pioneering companies in promoting the study and development of completely autonomous vehicles, driving ahead of many peers in actual implementationTheir proficiency spans Level 2 to Level 4 applications, with commercial deployments of various systems already underway.

The reciprocal relationship between technology and industry fosters a cycle of innovation, stimulating growth for both entitiesGAC’s intelligent driving initiatives are poised for continual improvement and refinement, establishing a competitive lead that remains challenging for rivals to emulate.

The intrinsic value of traditional automotive operations combined with the expansive potential brought about by investments in intelligent driving technology significantly enhances GAC’s worth in a fast-evolving market.

With the onset of 2025, the narrative surrounding DeepSeek and the larger Chinese tech ecosystem highlights a tale of value transformation where previously undervalued companies emerge with newfound esteemThe rapid ascension of stocks among several major players in the intelligent driving arena reflects this wave of re-evaluation, considerably impacting the stock market and noteworthily elevating the collective valuations of invested companies.

To date, Horizon Robotics boasts a market cap nearing 100 billion Hong Kong dollars, followed closely by SpeedFusion with 20 billion Hong Kong dollars, and others such as Black Sesame Technology and Pony.ai with market valuations climbing steadilyGAC's investment portfolio, with an aggregate market value of approximately 200 billion yuan, will likely continue its upward trajectory as the smart vehicle market expands exponentially.

Drawing a parallel to the early days of Tencent, GAC resembles a company that is leveraging its core business to extend into various tech sectors dynamically

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