Xpeng's New Model to Ditch LiDAR for Tesla-Like Vision Solution

Posted on Monday July 8, 2024

A rendering of Xpeng's latest model, internally referred to as F57 taken by auto blogger @小志说车

Xpeng Motors (NYSE: XPEV) is set to launch a new model, internally codenamed F57, in the fourth quarter of 2024. This upcoming vehicle will mark a significant shift for the company by abandoning the use of LiDAR technology in favor of a pure vision solution, similar to Tesla’s approach.

Transition to Pure Vision Solution

A source familiar with the matter revealed to that the new model will not use any LiDARs. Instead, Xpeng’s smart driving system will rely entirely on a vision-based approach. This change aligns with Tesla's strategy, which has never incorporated LiDAR in its assisted driving systems.

Historical Use of LiDAR in Xpeng Vehicles

Xpeng has been a pioneer in integrating LiDAR into production vehicles. The company first introduced this technology with the launch of the P5 electric sedan on September 15, 2021. Subsequent models, including the P7i, G6, G9, and X9, also featured LiDAR. However, Xpeng’s chairman and CEO, He Xiaopeng, has previously stated that cameras are more critical than LiDAR for vehicle perception, comparing it to how humans rely on their eyes.

Influence of Tesla’s FSD Technology

Mr. He recently tested Tesla’s Full Self-Driving (FSD) system in the United States and praised its performance. This experience has likely influenced Xpeng’s decision to pivot towards a vision-only system. The move is also in line with the industry trend towards end-to-end large model technology, which is becoming a consensus among many EV makers.

Cost and Technology Considerations

Switching to a vision-based system not only aligns Xpeng with Tesla’s technological direction but also offers significant cost benefits. On a recent earnings call, Xpeng's management highlighted their goal to achieve a 25 percent cost reduction in technology for the new B-class all-electric sedan, expected to begin deliveries in Q4 2024. This new model, likely the F57, will be the first to implement this cost-saving strategy.

Future of Xpeng’s Smart Driving

By 2025, Xpeng aims to elevate its urban smart driving capabilities to match the highest levels currently seen on highways. The company envisions a system that can handle hundreds of kilometers of city driving with minimal human intervention.

Stay tuned for more updates on Xpeng's innovative developments and their impact on the EV market.