China's Xpeng Plans to Offer Tech Solutions to Foreign Automakers
The planned expansion could also extend beyond traditional vehicle technology
Chinese electric vehicle maker Xpeng is preparing to offer its automotive technology to foreign automakers beyond its existing partnership with Volkswagen, as the company looks to develop new revenue streams from its growing technology business.
Two people familiar with the matter told Reuters that Xpeng has been in contact with potential partners that have expressed interest in its technology. The company plans to offer several technologies, including its electrical and electronic architecture, cockpit systems, Turing artificial intelligence chips and advanced driver-assistance software.
The planned expansion could also extend beyond traditional vehicle technology. Xpeng is considering licensing and customization services for robotaxis, humanoid robots and other physical AI applications. Its technology offering could include the operational deployment of robotaxis, although the company has not identified potential partners publicly.
Xpeng's strategy builds on its experience with Volkswagen. The German automaker invested about $700 million in Xpeng in 2023 for a 4.99% stake, creating an alliance covering electric-vehicle platforms, software and electronic architecture.
Their cooperation has already produced the ID.UNYX 08 electric SUV, which uses Xpeng's cockpit systems, smart-driving technology and Turing AI chips. The model entered mass production in March 2026, giving Xpeng practical experience in supplying its technology to an established global automaker.
The technology push comes as Chinese EV manufacturers increasingly look beyond selling vehicles and seek to commercialize software, artificial intelligence, autonomous-driving systems and other technologies. Xpeng has also been expanding its international operations and developing robotaxis, humanoid robots and flying vehicles.
The company has previously said Volkswagen would be the first customer for its next-generation intelligent-driving technology, with global delivery of its VLA 2.0 system planned from 2027.
For Xpeng, licensing and technology partnerships could provide an additional source of higher-margin revenue while giving foreign automakers access to technologies developed in China's highly competitive electric-vehicle market. The company has not disclosed which additional automakers or suppliers could become partners, meaning the scope and timing of the expansion remain uncertain.
