Huawei Technologies Co. Ltd. and China motor-vehicle manufacturer Arcfox have introduced the first electric car equipped with Huawei's advanced autonomous driving technology.
Huawei is seeking new sources of revenue as its telecommunications and smartphone businesses continue to be hindered by U.S. sanctions.
The vehicle -the Arcfox αS HBT - features Huawei's most advanced driving technology. It is expected to be the first of many to use the system that runs on a 5G connected network.
"It is a next-generation, intelligent, and purely electric luxury sedan jointly built by Arcfox and Huawei," Huawei said Thursday.
Huawei said the vehicle will be available April 17. Arcfox plans to release three variants.
BAIC BluePark New Energy Technology Co. Ltd. - the owner of Arcfox - said the vehicle was capable of level-3 autonomous driving for completely safe transport. However, drivers must be ready to take control at all times.
Huawei's chairperson Ken Hu Houkun said the company had no intention of making its own smart vehicle. Hu said the company was hoping its partnerships with local vehicle manufacturers would help revitalize revenue growth. Other China technology companies working with electric vehicles include search engine company Baidu.
"Huawei's current strategy in the auto sector is still limited to being a supplier, not an EV maker," automotive analysts said.
Huawei's revenues have been declining. Huawei has been struggling to expand its telecommunications and smartphone businesses after the U.S. added it to a trade blacklist in 2019. Last year, the company was barred from using chips made with U.S. technology.