China’s Nio Inc (9866. HK) revealed a high-end smartphone for its electric vehicles on Thursday, touting various associated services like remotely parking the car.
No Phone, the first car-specific phone sold by a Chinese company, shows the advanced status of EV technologies in the world’s largest auto industry, where electric cars account for over a third of vehicle sales.
No drivers may also use the phone to tell their car to drive itself to their destination (legal in China in restricted spaces and at modest speeds) and unlock the car even when it’s off.
Chief Executive William Li stated the Nio Phone has over 30 car-specific functionalities and pioneered connecting technologies.
He remarked, “I believe many of our competitors will learn from our smartphone innovations and I welcome them to do so.”
Three variants are priced between 6,499 and 7,499 yuan ($890-$1,030). Only China will sell the phone for now, with deliveries starting Sept. 28.
Li has continued the smartphone project despite investor concerns that the automaker, which has suffered losses in a brutal Chinese price battle, is taking on too much.
IDC analyst Will Wong believes the automaker’s main goal in building the phone is to acquire user data rather than boost revenue.
“In the current tech world, smartphones will be a good platform to collect more data, which could improve user experience and customer stickiness,” he said.
Nio’s venture is the latest smartphone-automotive crossover. In March, Zhejiang Geely Holding’s (GEELY.UL) founder’s venture acquired Meizu and released smartphones that can connect to Geely’s Lynx & Co. cars and are sold to consumers.
Xiaomi will develop vehicles, too.
Nio, China’s No.9 electric and hybrid car maker, has increased investment in self-developed chip and battery technologies. It has also gained Chinese drivers’ loyalty via special membership clubs and Nio-branded wine.
At the occasion, Li claimed the business has 11,000 engineers working on smart EV technologies like semiconductors, batteries, autonomous driving, and smart manufacturing.
The revised ES6 SUV has helped Nio rebound from a first-half sales dip, with August deliveries up 81%.
It sold 94,350 vehicles in the first eight months, up 32% from the year before, exceeding China’s 20% electric car sales growth.