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Automotive technology innovation is booming—yet amid the excitement lie hidden concerns.

2023-11-24

 

Automotive technology innovation is booming—yet amid the excitement lie hidden concerns.

 

Recently, the 2023 Guangzhou Auto Show, themed "New Technology, New Life," is in full swing. As the automotive market enters the era of electrification, technological innovation has become the central battleground for automakers—each vying fiercely to outdo the others, a trend vividly showcased at this year's Guangzhou Auto Show. From cutting-edge features like advanced driver-assistance systems and intelligent cockpit technologies to smaller yet groundbreaking innovations such as solid-state batteries and smart headlights, competition is sweeping across every segment, creating an incredibly vibrant atmosphere. Yet, behind the intense race among automakers, there’s growing concern that automotive technology innovation may be losing its original purpose and direction.

 

 

As electrification, intelligent technologies, and connectivity continue to advance, the automotive industry is undergoing a profound transformation. The accelerated pace of digital and intelligent transformation is propelling China’s journey from a global automotive powerhouse to a true automotive innovation leader. In this process, technological innovation plays a pivotal role—particularly in areas such as autonomous driving, smart connected systems, and battery-electronics control technologies. For instance, breakthroughs in automotive-grade chips, high-precision sensors, in-vehicle operating systems, and solid-state batteries are actively addressing critical "bottleneck" challenges that could hinder the industry’s growth, thereby fostering sustainable development in the automotive sector.
From the perspective of automotive companies, in today's fiercely competitive market environment, actively promoting technological innovation is undoubtedly the key to survival amid the broader backdrop of transformation in the automotive industry. Take several domestic-brand automakers as an example: according to incomplete statistics, BYD’s R&D investment in the first half of 2023 more than doubled year-on-year, surpassing 14 billion yuan; meanwhile, Geely Auto, Li Auto, and Changan Auto all saw their R&D spending increase by over 50% compared to the same period last year. Automakers are continuously ramping up R&D investments because they aim, on one hand, to achieve cost reduction and efficiency gains through innovative technological breakthroughs, thereby enhancing their competitive edge. On the other hand, once these technological innovations are successfully commercialized and implemented, they can help companies strengthen their brand image, boost brand premium capabilities, and steadily expand their customer base.
From the consumer's perspective, technological innovation is most directly reflected in the product experience. It’s easy to notice that today’s car buyers are increasingly younger, and their demands for automotive products have also shifted significantly from the past. A few years ago, consumers primarily focused on the performance of a vehicle’s three core components—engine, transmission, and chassis—when making a purchase. But now, with the rising wave of automotive electrification, the focus has pivoted toward the vehicle’s advanced, intelligent features, such as how smart the in-car infotainment system is and how effective the intelligent driving assistance systems truly are. These factors are gradually becoming the key considerations influencing consumers’ decisions when buying a car. In fact, these changes are all driven by technological innovation.

 

 

However, precisely because of the numerous benefits brought about by technological innovation, major automakers have all begun ramping up their investments, striving to gain a competitive edge in the fiercely contested market with differentiated strategies. As a result, "involution"—a term describing intense internal competition—has emerged as the hottest buzzword in the automotive industry in recent years. From "competing" over larger and multiple screens to developing advanced smart cockpits and intelligent driver-assistance systems, we can see that technological transformation has already deeply penetrated the mass consumer market. Yet, amid this fierce "involution," the innovative products launched by automakers are a mixed bag—among them, there are no shortage of so-called "useless but flashy" offerings masquerading as groundbreaking innovations.
On one hand, certain innovative products have indeed set the industry’s direction, driving the transformation and upgrading of the automotive sector while enhancing consumers’ everyday driving experiences. For instance, the intelligent parking feature, after years of iterative improvements, can now handle the entire process without any manual intervention—drivers simply need to press a single button to effortlessly park in or out of a spot. Then there’s the in-car smart voice interaction system, which, thanks to advancements in technology, has evolved far beyond being a mere tool for executing commands. Today, it functions more like a personalized onboard assistant capable of engaging in human-like conversations. Drivers can control nearly all vehicle functions through voice commands, effectively freeing their hands in the process. Moreover, the fiercely competitive landscape among automakers in the realm of advanced driver-assistance systems has also brought remarkable convenience to daily driving. From early features like cruise control and adaptive cruise control to cutting-edge technologies such as highway NOA and urban NOA, continuous innovation and upgrades are delivering safer, smoother, and more convenient mobility experiences for consumers.
However, from another perspective, under intense competitive pressure, some automakers have chosen to take unconventional paths in innovation to avoid product homogeneity. While their intentions may have been good, the outcomes have often backfired. These novel, cutting-edge products certainly catch the eye with their "high-tech" appeal—but when it comes to real-world use by consumers, the experience turns out to be far less satisfying. Instead of enhancing daily driving convenience, they often introduce unnecessary complications, giving rise to the feeling that companies are prioritizing "innovation for innovation's sake." For instance, some automakers have replaced traditional window-switch buttons with touch-sensitive controls, allowing users to raise or lower windows by sliding them forward and backward. Not only does this design make "blind operation" virtually impossible, but it also proves to be sluggish and prone to misfires during actual use—leading to plenty of complaints from car owners. Similarly, other "innovative" features, such as switching sunroof controls to a sliding mechanism touted as offering seamless, stepless adjustment, end up being surprisingly impractical and ultimately more of a gimmick than a useful addition.

 

 

In fact, there’s another category of innovative products that can be considered “semi-finished.” To counter the intensifying competition—often referred to as "involution"—some automakers have been rapidly rolling out cutting-edge products or features. However, these innovations are often hastily implemented in new vehicles, leading to a host of bugs and even safety risks during actual use. Clearly, they’re essentially treating early adopters as guinea pigs: identifying issues only after the products hit the market, then proceeding with necessary refinements. Among these, the increasingly popular intelligent driving assistance systems have encountered particularly frequent problems. High-profile incidents, such as Tesla vehicles reportedly showing human figures near its so-called "no-mans' land" at a graveyard, or Li Auto L8 models triggering system warnings about a vehicle chasing from behind while in motion—these are prime examples. Additionally, there have been cases where cars suddenly brake unexpectedly despite no obstacles ahead, or fail to detect pedestrians or obstacles altogether. Most recently, a model from a rising electric-vehicle brand caused public concern after rear-ending a road-construction vehicle while its advanced driver-assistance system was engaged.
Additionally, the move by some automakers to replace the instrument panel with HUDs and central control screens has sparked controversy. While this seemingly high-tech approach may appear advanced, it actually comes with numerous issues. Setting aside whether it’s practical or not, the safety risks are very real: when electronic devices like HUDs and central screens malfunction during driving, drivers could lose critical information such as gear positions and vehicle speed altogether. According to data from Chezhinwang, a total of 9,688 complaints were received in 2022 regarding audio-visual system failures, with more than one-third of these issues directly linked to black screens or system freezes. The root cause of these problems lies in the fact that companies often fail to conduct thorough market research and rigorous validation before launching innovative products. Moreover, there are also significant challenges, including short testing periods for new innovations, incomplete verification processes, and limited testing environments.
Certainly, at this stage, automakers may encounter certain challenges in advancing technological innovation. However, for the automotive industry, technological innovation is an inevitable trend—and it’s also the key to smoothly achieving industrial transformation. Wan Gang, Vice Chairman of the 13th National Committee of the Chinese People's Political Consultative Conference and President of the China Association for Science and Technology, pointed out at the 2023 China Automotive Industry Development (TEDA) International Forum held in the third quarter of this year that the automotive industry must adhere to innovation-driven development and accelerate the realization of high-level scientific and technological self-reliance and strength. Therefore, for automotive enterprises, technological innovation must be guided by a mindset that respects both "bottom lines" and "red lines," rejecting gimmicks that merely seek attention. Instead, companies should pragmatically push forward high-quality technological innovation from the following key areas:
1. Strengthen market research to gain deep insights into consumers' core needs. Before launching innovative products or features, automakers should conduct thorough market research to clearly understand what today’s consumers truly want from automotive offerings. This will help them avoid making decisions solely through "engineer-driven thinking," which tends to focus narrowly on how to solve problems rather than why those solutions are needed in the first place. In the automotive industry, if companies only consider development from the perspective of creating new products without addressing the underlying "why," such innovations often fail to resonate with consumers. Therefore, automotive enterprises should adopt a balanced approach—combining "engineer-driven thinking" with a genuine understanding of consumers' real-world demands—to drive technological innovation and develop cutting-edge products.
2. Establish a comprehensive and effective product validation process. For innovative products or features, it’s often difficult to predict potential issues without firsthand experience, which is why automakers must conduct thorough, all-around verification before launching a product. On one hand, they should rigorously test the product under various usage scenarios and extreme environmental conditions, promptly addressing any bugs to ensure the product hits the market free of defects. After launch, automakers should also continuously refine the user experience by analyzing usage data and gathering customer feedback, proactively identifying problems and eliminating safety risks. On the other hand, collaborating with independent third-party testing organizations can provide an objective evaluation from the consumer perspective, helping to verify potential issues that may arise during real-world use and ensuring the product truly meets consumers’ genuine needs.
3. Avoid blindly following trends. In the ever-evolving automotive market, automakers should approach emerging technologies and new features with caution, resisting the temptation to chase after every hot trend or simply jump on the bandwagon. Otherwise, they risk falling into the trap of severe product homogenization, which could negatively impact their own brands' market performance—and ultimately end up wasting resources with no tangible results. Instead, when it comes to product innovation, automakers should first thoroughly understand their unique strengths and distinctive attributes. Building on this solid foundation, they can strengthen independent innovation, deepen product development, and ultimately create truly groundbreaking innovations that lead the future of the automotive industry.
4. Stay closely aligned with national policies. National policy guidance is crucial for automotive technology innovation, helping automakers avoid unnecessary detours. Take 2023 as an example—this year saw the gradual introduction of several key national policies, which, beyond boosting consumer spending, placed a strong emphasis on advancing automotive technology innovation. In September of this year, multiple ministries—including the Ministry of Industry and Information Technology, the Ministry of Finance, and the Ministry of Transport—jointly released the "Work Plan for Stabilizing Growth in the Automotive Industry (2023–2024)," explicitly outlining support for tackling technical challenges and promoting the application of cutting-edge technologies such as automotive-grade chips, solid-state batteries, operating systems, and high-precision sensors. Therefore, for automakers, staying attuned to national policy trends in the realm of technological innovation is essential for fostering healthy growth under policy guidance.
In summary: Faced with the surging tide of transformation and upgrading in the automotive industry, technological innovation is undoubtedly the key to success for automakers. However, they must also remain vigilant at all times, avoiding "red lines" and upholding "bottom lines." By fully leveraging their own strengths and consistently pursuing positive, forward-thinking technological advancements, companies can effectively navigate the increasingly fierce market competition and evolving consumer demands.

Translated from Sina Auto

Return to list

Automotive technology innovation is booming—yet amid the excitement lie hidden concerns.

2023-11-24

 

Automotive technology innovation is booming—yet amid the excitement lie hidden concerns.

 

Recently, the 2023 Guangzhou Auto Show, themed "New Technology, New Life," is in full swing. As the automotive market enters the era of electrification, technological innovation has become the central battleground for automakers—each vying fiercely to outdo the others, a trend vividly showcased at this year's Guangzhou Auto Show. From cutting-edge features like advanced driver-assistance systems and intelligent cockpit technologies to smaller yet groundbreaking innovations such as solid-state batteries and smart headlights, competition is sweeping across every segment, creating an incredibly vibrant atmosphere. Yet, behind the intense race among automakers, there’s growing concern that automotive technology innovation may be losing its original purpose and direction.

 

 

As electrification, intelligent technologies, and connectivity continue to advance, the automotive industry is undergoing a profound transformation. The accelerated pace of digital and intelligent transformation is propelling China’s journey from a global automotive powerhouse to a true automotive innovation leader. In this process, technological innovation plays a pivotal role—particularly in areas such as autonomous driving, smart connected systems, and battery-electronics control technologies. For instance, breakthroughs in automotive-grade chips, high-precision sensors, in-vehicle operating systems, and solid-state batteries are actively addressing critical "bottleneck" challenges that could hinder the industry’s growth, thereby fostering sustainable development in the automotive sector.
From the perspective of automotive companies, in today's fiercely competitive market environment, actively promoting technological innovation is undoubtedly the key to survival amid the broader backdrop of transformation in the automotive industry. Take several domestic-brand automakers as an example: according to incomplete statistics, BYD’s R&D investment in the first half of 2023 more than doubled year-on-year, surpassing 14 billion yuan; meanwhile, Geely Auto, Li Auto, and Changan Auto all saw their R&D spending increase by over 50% compared to the same period last year. Automakers are continuously ramping up R&D investments because they aim, on one hand, to achieve cost reduction and efficiency gains through innovative technological breakthroughs, thereby enhancing their competitive edge. On the other hand, once these technological innovations are successfully commercialized and implemented, they can help companies strengthen their brand image, boost brand premium capabilities, and steadily expand their customer base.
From the consumer's perspective, technological innovation is most directly reflected in the product experience. It’s easy to notice that today’s car buyers are increasingly younger, and their demands for automotive products have also shifted significantly from the past. A few years ago, consumers primarily focused on the performance of a vehicle’s three core components—engine, transmission, and chassis—when making a purchase. But now, with the rising wave of automotive electrification, the focus has pivoted toward the vehicle’s advanced, intelligent features, such as how smart the in-car infotainment system is and how effective the intelligent driving assistance systems truly are. These factors are gradually becoming the key considerations influencing consumers’ decisions when buying a car. In fact, these changes are all driven by technological innovation.

 

 

However, precisely because of the numerous benefits brought about by technological innovation, major automakers have all begun ramping up their investments, striving to gain a competitive edge in the fiercely contested market with differentiated strategies. As a result, "involution"—a term describing intense internal competition—has emerged as the hottest buzzword in the automotive industry in recent years. From "competing" over larger and multiple screens to developing advanced smart cockpits and intelligent driver-assistance systems, we can see that technological transformation has already deeply penetrated the mass consumer market. Yet, amid this fierce "involution," the innovative products launched by automakers are a mixed bag—among them, there are no shortage of so-called "useless but flashy" offerings masquerading as groundbreaking innovations.
On one hand, certain innovative products have indeed set the industry’s direction, driving the transformation and upgrading of the automotive sector while enhancing consumers’ everyday driving experiences. For instance, the intelligent parking feature, after years of iterative improvements, can now handle the entire process without any manual intervention—drivers simply need to press a single button to effortlessly park in or out of a spot. Then there’s the in-car smart voice interaction system, which, thanks to advancements in technology, has evolved far beyond being a mere tool for executing commands. Today, it functions more like a personalized onboard assistant capable of engaging in human-like conversations. Drivers can control nearly all vehicle functions through voice commands, effectively freeing their hands in the process. Moreover, the fiercely competitive landscape among automakers in the realm of advanced driver-assistance systems has also brought remarkable convenience to daily driving. From early features like cruise control and adaptive cruise control to cutting-edge technologies such as highway NOA and urban NOA, continuous innovation and upgrades are delivering safer, smoother, and more convenient mobility experiences for consumers.
However, from another perspective, under intense competitive pressure, some automakers have chosen to take unconventional paths in innovation to avoid product homogeneity. While their intentions may have been good, the outcomes have often backfired. These novel, cutting-edge products certainly catch the eye with their "high-tech" appeal—but when it comes to real-world use by consumers, the experience turns out to be far less satisfying. Instead of enhancing daily driving convenience, they often introduce unnecessary complications, giving rise to the feeling that companies are prioritizing "innovation for innovation's sake." For instance, some automakers have replaced traditional window-switch buttons with touch-sensitive controls, allowing users to raise or lower windows by sliding them forward and backward. Not only does this design make "blind operation" virtually impossible, but it also proves to be sluggish and prone to misfires during actual use—leading to plenty of complaints from car owners. Similarly, other "innovative" features, such as switching sunroof controls to a sliding mechanism touted as offering seamless, stepless adjustment, end up being surprisingly impractical and ultimately more of a gimmick than a useful addition.

 

 

In fact, there’s another category of innovative products that can be considered “semi-finished.” To counter the intensifying competition—often referred to as "involution"—some automakers have been rapidly rolling out cutting-edge products or features. However, these innovations are often hastily implemented in new vehicles, leading to a host of bugs and even safety risks during actual use. Clearly, they’re essentially treating early adopters as guinea pigs: identifying issues only after the products hit the market, then proceeding with necessary refinements. Among these, the increasingly popular intelligent driving assistance systems have encountered particularly frequent problems. High-profile incidents, such as Tesla vehicles reportedly showing human figures near its so-called "no-mans' land" at a graveyard, or Li Auto L8 models triggering system warnings about a vehicle chasing from behind while in motion—these are prime examples. Additionally, there have been cases where cars suddenly brake unexpectedly despite no obstacles ahead, or fail to detect pedestrians or obstacles altogether. Most recently, a model from a rising electric-vehicle brand caused public concern after rear-ending a road-construction vehicle while its advanced driver-assistance system was engaged.
Additionally, the move by some automakers to replace the instrument panel with HUDs and central control screens has sparked controversy. While this seemingly high-tech approach may appear advanced, it actually comes with numerous issues. Setting aside whether it’s practical or not, the safety risks are very real: when electronic devices like HUDs and central screens malfunction during driving, drivers could lose critical information such as gear positions and vehicle speed altogether. According to data from Chezhinwang, a total of 9,688 complaints were received in 2022 regarding audio-visual system failures, with more than one-third of these issues directly linked to black screens or system freezes. The root cause of these problems lies in the fact that companies often fail to conduct thorough market research and rigorous validation before launching innovative products. Moreover, there are also significant challenges, including short testing periods for new innovations, incomplete verification processes, and limited testing environments.
Certainly, at this stage, automakers may encounter certain challenges in advancing technological innovation. However, for the automotive industry, technological innovation is an inevitable trend—and it’s also the key to smoothly achieving industrial transformation. Wan Gang, Vice Chairman of the 13th National Committee of the Chinese People's Political Consultative Conference and President of the China Association for Science and Technology, pointed out at the 2023 China Automotive Industry Development (TEDA) International Forum held in the third quarter of this year that the automotive industry must adhere to innovation-driven development and accelerate the realization of high-level scientific and technological self-reliance and strength. Therefore, for automotive enterprises, technological innovation must be guided by a mindset that respects both "bottom lines" and "red lines," rejecting gimmicks that merely seek attention. Instead, companies should pragmatically push forward high-quality technological innovation from the following key areas:
1. Strengthen market research to gain deep insights into consumers' core needs. Before launching innovative products or features, automakers should conduct thorough market research to clearly understand what today’s consumers truly want from automotive offerings. This will help them avoid making decisions solely through "engineer-driven thinking," which tends to focus narrowly on how to solve problems rather than why those solutions are needed in the first place. In the automotive industry, if companies only consider development from the perspective of creating new products without addressing the underlying "why," such innovations often fail to resonate with consumers. Therefore, automotive enterprises should adopt a balanced approach—combining "engineer-driven thinking" with a genuine understanding of consumers' real-world demands—to drive technological innovation and develop cutting-edge products.
2. Establish a comprehensive and effective product validation process. For innovative products or features, it’s often difficult to predict potential issues without firsthand experience, which is why automakers must conduct thorough, all-around verification before launching a product. On one hand, they should rigorously test the product under various usage scenarios and extreme environmental conditions, promptly addressing any bugs to ensure the product hits the market free of defects. After launch, automakers should also continuously refine the user experience by analyzing usage data and gathering customer feedback, proactively identifying problems and eliminating safety risks. On the other hand, collaborating with independent third-party testing organizations can provide an objective evaluation from the consumer perspective, helping to verify potential issues that may arise during real-world use and ensuring the product truly meets consumers’ genuine needs.
3. Avoid blindly following trends. In the ever-evolving automotive market, automakers should approach emerging technologies and new features with caution, resisting the temptation to chase after every hot trend or simply jump on the bandwagon. Otherwise, they risk falling into the trap of severe product homogenization, which could negatively impact their own brands' market performance—and ultimately end up wasting resources with no tangible results. Instead, when it comes to product innovation, automakers should first thoroughly understand their unique strengths and distinctive attributes. Building on this solid foundation, they can strengthen independent innovation, deepen product development, and ultimately create truly groundbreaking innovations that lead the future of the automotive industry.
4. Stay closely aligned with national policies. National policy guidance is crucial for automotive technology innovation, helping automakers avoid unnecessary detours. Take 2023 as an example—this year saw the gradual introduction of several key national policies, which, beyond boosting consumer spending, placed a strong emphasis on advancing automotive technology innovation. In September of this year, multiple ministries—including the Ministry of Industry and Information Technology, the Ministry of Finance, and the Ministry of Transport—jointly released the "Work Plan for Stabilizing Growth in the Automotive Industry (2023–2024)," explicitly outlining support for tackling technical challenges and promoting the application of cutting-edge technologies such as automotive-grade chips, solid-state batteries, operating systems, and high-precision sensors. Therefore, for automakers, staying attuned to national policy trends in the realm of technological innovation is essential for fostering healthy growth under policy guidance.
In summary: Faced with the surging tide of transformation and upgrading in the automotive industry, technological innovation is undoubtedly the key to success for automakers. However, they must also remain vigilant at all times, avoiding "red lines" and upholding "bottom lines." By fully leveraging their own strengths and consistently pursuing positive, forward-thinking technological advancements, companies can effectively navigate the increasingly fierce market competition and evolving consumer demands.

Translated from Sina Auto