Car AI chip starts market competition

As artificial intelligence technology is increasingly mature, more and more industries are being reshaped. For example, smart driving technology is a smart car, which is promoting the traditional hardware era to the new era of hardware and software. In this context, the active AI chip acting as an important hardware component is more prominent.

In recent years, the fire in the domestic smart auto market has also driven a substantial growth in the car AI chip market, and some enterprises in advance of the car AI chip have begun to usher in the harvest.

(Picture from Canva)

Car AI chip market

In recent years, domestic and foreign companies have more enthusiastic on car AI chips. After Tesla released self-developing chip products, domestic chip companies such as skyline, Huawei and other enterprises have also released AI chips that can be used by smart cars, so that the heat of domestic car AI chip market is getting higher and higher.

As the domestic car AI chip market temperature continues to rise, its market size has begun to expand rapidly. According to Dongwu Securities Survey, the 2019 domestic automobile AI chip market size is $ 900 million, which is expected to reach $ 91 billion in 2025, which means that the market will remain rapidly in the next five years.

The vigorous development of domestic car AI chip markets is mainly due to two factors. On the one hand, the development of the intelligent automotive industry has driven the development of the car AI chip market. With the explosive, Tesla, Wei, Ideal, etc. in recent years, the sales of smart cars also climbed in the automotive market, and the sales of smart cars also opened the market demand in the upstream industry of smart cars. In turn, it promoted the development of the car AI chip industry.

On the other hand, the breakthrough of the algorithm has also provided assistance for the development of the car AI chip industry. In smart car products, the car AI chip is the basis for achieving technology applications such as smart car visual perception, automatic navigation visual identification. These technical applications require strong support for AI chips to be implemented. However, in the past few years, China has progressed slowly in the AI ​​algorithm until the year has made breakthroughs (single-chip more than 96TOPS), and the domestic smart car chip market has finally ushered in again.

However, as a new technology product car AI chip, whether in the market or in technology, it is still in an extremely primary development stage, which creates possibilities for domestic enterprises to break the European and American corporate monopoly pattern. Domestic enterprises such as the horizon, cold martial arts, black sesame intelligence, seized the market opportunities, but also began to force in the AI ​​chip market to make the domestic car AI chip market becomes more hot.

Overseas companies take the lead

However, in the current automotive chip market, overseas companies still occupy the dominant position, and domestic autonomous research and development of automotive chip size is only less than 10%.

The reason why there will be such a big gap, mainly with the domestic chip industry. Compared to overseas chip enterprises, the domestic chip industry has only entered the development acceleration period until 2000, and due to the limited restrictions on foreign technology, the domestic chip industry has been slow in the market, until it has achieved a big breakthrough in the past two years. .

In contrast, there is a rich experience accumulation in Intel, Yingda, which has worked for many years in the chip field. With its experience accumulated in the chip field, now Inn Wenda, Intel has been in the field of car AI chip, and has achieved good results. For example, the Car Ai processor released by Intel has been equipped in a car product of FAW, Great Wall, Chang’an and other cargo enterprises, and British Weida will work with Volvo, Xiaopeng, Toyota, and Volkswage. Already put it in a brand car such as Audi, Mercedes.

In addition to chip companies, smart vehicles in overseas markets, also occupy a place in the field of car AI chips. For example, Tesla has released its self-developed car chips early in 2019, and also has a layout in other fields of the car AI chip. However, for Tesla, its significance of self-studying car chips is very different from Intel, and Didaz is very different.

As the domineering in the chip, Ying Weida, Intel enters the field of car AI chip, mainly in order to seize market opportunities and occupy the lead in the AI ​​market. And Tesla self-developed car AI chip, its main purpose is to help it improve the market competitiveness of their own products while reducing smart cars production costs. For example, Tesra’s self-developed FDS chip, compared to Chip products with Yingda, can reduce costs by 20%, which has an important role in maintaining price advantage.

However, in the current market, although these overseas companies are strong, in recent years, domestic car AI chip companies have risen rapidly and have become a force that cannot be ignored by the car AI chip market.

Rise of domestic car AI chip

At the same time, domestic companies such as Intel, Tesla and other overseas enterprises have also begun to compete for the market.

At present, the skyline in the leader has launched the journey series AI chip, and has been cooperated with SK telecommunications,freetech, etc.; Huawei also conducted in-depth cooperation with BYD, and released the unicorn released 710A chip, is applied to the field of car digital cocktocks; the smart car equipped with Huashan No. 2 chip (black sesame intelligence research and development) will also be produced in 2021. From the layout of various companies, domestic companies have achieved good results in the field of car AI chip, which is of great significance to the development of domestic intelligent automotive industry chains. On the one hand, domestic enterprises go deep into the field of car AI chip, which can break the monopoly of overseas companies to the car chip market, so that the domestic smart automobile enterprises such as the Of, Ideal, Xiaopeng, Weima will get more initiative in the market.

On the other hand, the market potential of the market has boosting the field of car AI chip, which can also help the profit growth in the field. According to the automotive semiconductor supply, the GAAP gross profit margin is 48.1% in the third quarter, which is much higher than the profit in the automotive industry. This is undoubtedly a good news for domestic chip companies in the field.

Under the multi-benefit, Cambrian, skyline, black sesame intelligence and other domestic enterprises have also begun to add code layout in the car AI chip. While the rise of domestic car AI chip companies, they have also been concerned about the industry with overseas companies.

Is it expected to turn over?

With the vigorous development of domestic car AI chips, domestic and foreign companies in this field are inevitable. In this confrontation, there are advantages at home and abroad, and the domestic enterprises can achieve corner overtaking, but also from multiple aspects.

First of all, from the market, Ying Weida, Intel and other overseas companies have more advantages in commercial scale. For example, in the automatic driving field, it has been cooperated with 320 enterprises and institutions, and domestic companies are still slightly lack of commercial scale.

However, in terms of market prospects, domestic companies still have huge potential. According to energy network data, 2025 global intelligent networks will have more than 75 million units, and the domestic market is expected to reach 28 million units, with such a huge market, domestic car AI chip companies natural opportunities to achieve curve overtaking .

Secondly, in terms of product technology strength, domestic companies also show a clear potential. In the current market, Tesla released car AI processor, the force can reach 72TOPS, and the journey 5 chip released by the skyline, its integer can reach 96TOPS, have been superchard; in chip energy efficiency, black Sesame intelligently released Huashan No. 2 chip, chip energy efficiency reached 4TOPS / W, above the 2.4TOPS / W of Mobileye Eyeq5, Yingda.

However, in terms of the overall industrial chain of the chip industry, there is still a certain gap compared with the overseas market. For example, in the field of chip manufacturing, companies with chip manufacturing in the domestic market have only a few, which is naturally a great restriction on the development of domestic car AI chip industry.

It can be seen that there is also a gap compared to domestic car AI chip companies and overseas companies. However, in the domestic intelligent automotive market, the gap is not insurmountable in the case of booming the chip industry. From the current point of view, domestic companies want to chase the gap. It takes time. As for how long this time does it take, it is necessary to combine the development of the domestic industry. It is still still difficult to conclusion.

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