SG Talk

What is becoming clear is EV is a very crowded space with traditional car companies entering the fray for their own survival. In China alone 100 EV companies slug it out.

Many EV makers like Geely will end up struggling with low margins and cut throat competition. 

If you look at this space the better bets are the component makers.. For example there are only practically only 2 major battery makers  CATL and BYD. There are only 3 players I  the self driving space ...Intel, Baidu and Tesla, most companies will have to.license from one of these 3.

This is similar to the PC wars from late 80s to 2000. Many players like IPC, Gateway, e machines all end up dead. Now only 3 major players Lenovo, HP and Dell. Intel makes the component CPU was a big winner during that era.

https://technode.com/2023/03/24/catl-to-...nd-report/

Xiaomi to mass produce EV in 2023

Xiaomi is the expert at entering crowded competitive low margin business. It is as it they can't get enough of it. Be it vacuum cleaners, TV
, tablets, rice cooker etc.

Their trick is always to farm out manufacturing to low cost producers who can make but can't sell and do the design, marketing and branding. They will add software to differentiate their products.

Their entry also coincides with the industry becoming crowded.


https://www.scmp.com/tech/tech-trends/ar...i-jun-says

Huawei EV  entry is to strengthen its hold on 5G monopoly in China

It is probably to develop its 5G services for EV . Being in the EV market helps them to understand how EV is integrated to the 5G network for self driving and entertainment.

Their entrance also show basically anyone can enter the EV space by tapping on OEM manufacturing capacity. Sooner or later a Foxconn or TSMC will emerge to build EV for everyone behind the scenes...leaving the design and marketing to each company.

Unlike traditional cars, EV is much simpler and simply integrates a few major components from companies that specialise in each component like CATL for battery. 
Similar to PC manufacturing. 

Later the software will also be standardised as major platers will license. 

https://technode.com/2022/09/07/huawei-l...ner-seres/