BYD is developing a smart driving chip with a computing power of 80 TOPS that will be used in the company's models priced between RMB 80,000 ($11,060) and RMB 300,000, according to local media.

BYD (HKG: 1211, OTCMKTS: BYDDY) is reportedly working on a smart driving chip of its own, after other carmakers including Nio (NYSE: NIO) and Xpeng (NYSE: XPEV) did so.

BYD is developing a smart driving chip with a computing power of 80 TOPS (Tera Operations per Second), which will be used in the company's models priced between RMB 80,000 ($11,060) and RMB 300,000, a report in local media outlet 36kr said today.

Development of the chip is being led by a team at BYD Semiconductor, with some suppliers providing technical assistance, the report said, citing people familiar with the matter.

BYD is making a group-wide effort to enhance vehicle intelligence, the report said, adding that several media outlets had previously reported that the company planned to introduce additional variants with an intelligent driving system for all its products next year.

Zhang Zhuo, general manager of BYD's Ocean series sales division, had said that the company hoped to carry BYD's in-house developed smart driving system in models priced around RMB 150,000 or even below RMB 150,000 within 2-3 years.

Zhang revealed on November 1 that BYD will offer a variant for the Seagull next year with a smart driving system on board, the report noted.

The Seagull is the cheapest BYD model, with the 2025 Seagull currently on sale released on August 1 with a starting price of RMB 69,800.

Another local media outlet, Xinliu, said in a report earlier this month that BYD will use Nvidia's Orin N or Horizon Robotics' J6E smart driving chip on models in the RMB 100,000 class, offering features including highway NOA (Navigate on Autopilot).

In the much later future, BYD plans to switch all of its Orin N and J6E chips to the in-house developed 80 TOPS chip, according to the report by 36kr today.

Developing its own smart driving chip will allow BYD to achieve continuous and rapid iteration of its hardware solutions and better integration with its software algorithms, the report noted.

In terms of production, in-house developed chips can help further reduce costs and consolidate BYD's price advantage, the report said.

On November 12, BYD's sub-brand Fang Cheng Bao unveiled its new hybrid hardcore off-road SUV (sport utility vehicle) model, the Bao 8, the first to feature Huawei's driver assistance system.

At the time, BYD unveiled its BYD 9000 smart cockpit chip, developed in-house and built on a 4 nm process.

Qualcomm's Snapdragon series of chips are now commonly used to drive the cockpits in China's mainstream high-end EVs.

In terms of smart driving chip development, both Nio and Xpeng have completed key processes and both of their smart driving chips are close to mass production.

($1 = RMB 7.2346)

Li Auto plans HK chip R&D office, self-driving chip could be mass-produced soon, report says