In a significant move towards global expansion, Deeproute.ai, the Alibaba-backed autonomous driving startup, has announced plans to set up an operations center in Germany by 2024. The Shenzhen-based company aims to tap into the European market and strengthen ties with prominent automakers in the region. This strategic move was unveiled at the International Motor Show Germany in Munich, where numerous Chinese mobility companies showcased their innovations.
Key Takeaway
Deeproute.ai, the Alibaba-backed autonomous driving startup, plans to establish an operations center in Germany by 2024. This strategic move underscores the company’s commitment to expand into the European market and collaborate with prestigious automakers. Deeproute.ai aims to introduce its production-ready autonomous driving solution, Drive 3.0, in Germany next year, further solidifying its position in the industry.
Deeproute.ai’s German Venture
The operations center in Germany will serve as a base for Deeproute.ai’s business development team and acts as an important stepping stone in the company’s international growth strategy. While the exact location of the center is yet to be determined, options are being explored to ensure proximity to leading automotive hubs in Germany.
Deeproute.ai plans to introduce its production-ready autonomous driving solution, known as Drive 3.0, to the German market in 2022. This cutting-edge solution, developed without the need for high-definition maps, incorporates advanced features such as valet park assist. The hardware itself is attractively priced at $2,000, thanks to Deeproute.ai’s collaboration with competitive Chinese lidar suppliers. The system utilizes Nvidia’s Drive Orin system-on-a-chip, further enhancing its capabilities.
The Importance of Germany for Deeproute.ai’s Strategy
Deeproute.ai’s decision to establish a presence in Germany aligns with the trend among Chinese mobility startups aiming to extend their reach to European markets. The move brings them closer to renowned European automakers and facilitates collaboration on technological advancements in the automotive sector.
Deeproute.ai’s competitor, Momenta, recognized this potential early on and opened an office in Stuttgart two years ago. This strategic move allowed Momenta to forge stronger ties with investors such as Mercedes-Benz, a German-based automaker, and potentially other European OEMs.
Notably, Nio, a premium Chinese electric vehicle manufacturer, already has an innovation center in Berlin and a design facility in Munich. This established presence in Germany has supported Nio’s growth and helped foster relationships with European partners, including Mercedes-Benz, further expanding their influence in the region.
Deeproute.ai’s Evolving Focus
While Deeproute.ai initially focused on developing Level 4 driverless technologies for robotaxis, the company has shifted its focus to also cater to auto partners seeking less advanced driving solutions. This strategic pivot enables Deeproute.ai to generate immediate cash flow and collaborate with automotive industry leaders on mass production projects.
Deeproute.ai has accumulated an impressive track record, having provided over 800,000 passenger rides by the end of 2022, predominantly through its fleet of robotaxis operating in major Chinese cities. Expanding operations to Germany will enable the company to further expand its customer base among OEMs. Currently, the company’s OEM partnerships include Seres and Geely.
