Avatr Technology Deepens Strategic Partnership with Huawei to Develop Next-Generation EVs

Credit: Avatr

Avatr Technology, the electric vehicle (EV) company backed by Changan Automobile, CATL, and Huawei, has signed a new agreement with Huawei to enhance their collaboration, unveiling a novel partnership model. The agreement, signed at Huawei’s headquarters in Shenzhen on December 12, signifies an evolution in their strategic relationship to foster innovation in product development, marketing, and ecological services for future car models, the companies announced.

This new phase builds upon a partnership established in January 2019 and expands Huawei’s role in Avatr’s operations. While detailed specifics of the partnership remain undisclosed, it marks the first time in years that Huawei’s involvement with Avatr extends into marketing and product development. Huawei’s rotating chairman, Eric Xu, and Changan and Avatr chairman, Zhu Huarong, witnessed the signing ceremony.

Enhanced Collaboration under the HI Model

Avatr and Huawei have primarily collaborated through the Huawei Inside (HI) model since 2022, wherein Huawei provides smart car solutions, including intelligent driving and cockpit technologies, while Avatr oversees product definition, marketing, and manufacturing. This partnership has led to the development of models like the Avatr 11, 12, and 07, which are equipped with Huawei’s cutting-edge systems.

According to local media reports, the latest agreement incorporates elements of Huawei’s HIMA (Harmony Intelligent Mobility Alliance) model. Industry insiders have referred to this enhanced collaboration as “HI Plus,” suggesting deeper integration, though Avatr’s vehicles will not be sold through Huawei’s retail channels, differentiating it from HIMA projects.

The Avatr 06 sedan, expected to debut in the second quarter of next year, is anticipated to showcase Huawei’s expanded role in Avatr’s marketing initiatives under the new framework.

Avatr and Huawei: Evolving Partnership Models

Huawei’s strategy for engaging with carmakers spans three tiers: providing components and HarmonyOS; the HI model offering full-stack solutions; and the HIMA model, the most integrated approach involving joint branding. The partnership with Avatr reflects a hybrid approach, blending elements of the HI and HIMA models to create a unique framework for collaboration.

Avatr, originally founded as Changan Nio in 2018, has evolved significantly since Nio’s departure from the joint venture. Prior to this latest agreement, Avatr acquired a 10% stake in Huawei’s automotive business unit, Newcool, for RMB 11.5 billion, underscoring its commitment to deepening ties with Huawei.

As the EV market intensifies, this partnership aims to leverage Huawei’s technological prowess and Avatr’s manufacturing expertise to drive innovation and establish a stronger foothold in the competitive sector.

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