Tesla challenger NIO and car giant SAIC given green light to road test autonomous driving in Shanghai
NIO, backed by Tencent Holdings, Baidu and Xiaomi, given go-ahead for its 7-seater electric sport utility vehicle, the ES8, while Alibaba partner SAIC gains licence for two models of its smart intelligent car, the MG iGS
Electric vehicle start-up NIO – already being considered by some as a potentially serious challenger to market leader Tesla – and state-owned auto major SAIC Motor, have become the first two Chinese firms to be given green lights to road test autonomous driving of their “intelligent connected vehicles”, in Shanghai.
The city’s government has rubber stamped road testing licences to the two, becoming the first mainland city to issue such licences, as it aims big in winning a foothold in the emerging technology.
Based in the city, NIO is backed by technology giants Tencent Holdings, Baidu and Xiaomi and has been given the go-ahead for its seven-seater electric sport utility vehicle, the ES8, its first production model launched in December.
It was reported on Wednesday to have hired investment banks for an initial public offering by the end of this year in the US, the home turf of Tesla, with an eye on raising US$2 billion, according to a source familiar with the matter. That public listing would put its valuation at US$15 billion, the source said.
Also Shanghai-based, SAIC – a partner of e-commerce giant Alibaba Group in intelligent connected cars and best-known outside China as GM’s manufacturing partner – has been awarded licences for two models of its smart car, the MG iGS.
