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Huawei responds to change in cooperation with BAE AH8 project

GAC Group announced on March 27, holding subsidiary Guangzhou Automobile AH8 project from joint development with Huawei changed to independent development, after this change Huawei will continue to participate in the development and cooperation of the company’s own brand models as an important supplier; the total investment of the project from RMB 925 million adjusted to RMB 1.233 billion, the source of funding self-financing solutions.

On March 28, Huawei responded to the news that the cooperation model between Huawei and GAC AH8 project has been downgraded from Huawei Inside model to parts supplier model, Huawei responded to the Securities Times:

"The AH8 is an independent high-end model of GAC EAN, which is an important strategic model in GAC EAN's model planning. After full communication between GAC and Huawei, the two sides made a comprehensive judgment based on the actual situation, so it was adjusted to EAN's independent development, and after this adjustment, Huawei will continue to participate in the development and cooperation of GAC Group's independent brand models as an important supplier.

In addition, GAC and Huawei have already carried out in-depth cooperation in a number of fields such as enterprise digital transformation and intelligent network-connected vehicle solutions, and the above cooperation will all be promoted according to the original plan and new mutually beneficial and win-win cooperation projects will be explored according to the actual situation."

GAC announced in July last year that it agreed to the implementation of the project between its subsidiary Eyen and Huawei (AH8 models). This also means that Eyen became the third automotive company to confirm the Huawei Huawei Inside model after BAIC and Changan.

According to the strategic cooperation agreement signed between AH8 and Huawei, the two companies will jointly define and co-develop a series of future-oriented smart cars based on GAC’s GEP3.0 chassis platform, a new-generation smart car digital platform built by Huawei’s CCA (Computing and Communication Architecture), and equipped with Huawei’s full-stack smart car solutions.

On August 13 last year, Xiao Yong, deputy general manager of GAC Aion, spouted at a conference forum that “Huawei is a big-name supplier, its prices are relatively high and uncontrolled, and when we want to work with Huawei, we will find that we basically have no bargaining power.”

Caixin reported that an informed source close to Huawei revealed that Huawei and BAEAN deep cooperation project has been suspended, and now the two sides are parts supply and procurement relationship. In response to this news, the person in charge of EAN responded to interface news that “it is not true, our cooperation project with Huawei is still moving forward normally.

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