Physix Frontier · News Briefing Card (enbrief · Oct 1, 2026)

Huawei exec urges automakers to cut in-house work, embrace specialization

KEY FACTS

Huawei senior vice president Jin Yuzhi said in a September 28 interview that automakers should deepen their division of labor with suppliers.
Jin said Huawei's Qiankun R&D budget was raised this year from 18 billion yuan to more than 19 billion yuan.
Huawei disclosed that cumulative Qiankun smart-driving installations have surpassed 2 million, spanning 25 brands and more than 60 models.
The second 1 million installations took 12 months, 32 months less than the first 1 million.
Huawei's smart automotive solutions business revenue reached 45.018 billion yuan in 2025, up 72.1% year over year.

KEY DATA

more than 19 billion yuanQiankun R&D budget

2 millionCumulative Qiankun smart-driving installations

25Number of partner automaker brands

45.018 billion yuanSmart automotive business revenue

PHYSIX OBSERVATION

Huawei telling automakers to do less is, at bottom, a supplier expanding the boundaries of its own business. Two million installations prove the scale effect holds, but if automakers hand over smart driving entirely, where does brand differentiation come from? The AITO adjustments show that technology procurement and brand leadership can be negotiated separately. Automakers need to think clearly about which capabilities must stay in their own hands.

Source: enbrief original report ↗