Huawei hits speed bump in production of intelligent automotive unit

Holding up the EV supply chain is not a great start to 2024

Huawei is experiencing production issues with a computing unit that powers advanced driver assistance systems in electric vehicles, known as the MDC 810, according to a recent report from Reuters.

This has resulted in delays for Chinese automakers Changan Auto and Chery Auto, which have reportedly lodged complaints.

Models said to be affected include Changan's Avatr 12 sedan, Chery's Luxeed S7 sedan, and BAIC's Arcfox Alpha-S sedan. The latter is the first vehicle to ever feature the MDC 810.

Smaller carmaker Seres, which makes branded EVs for Huawei, is also said to be affected.

Changan and Chery promised reimbursements to some buyers facing postponements on orders, but have not publicly named Huawei as the source of those delays.

The MDC 810 was launched in April 2021. It's billed as a mass-produced intelligent driving computing platform with power of 400 tera operations per second.

Huawei relied on vendors of sensors, actuators, and application algorithms to build the platform. Reuters said a crucial unnamed component within MDC 810 was at fault.

Huawei tasked the MDC 810 with enabling Traffic Jam Pilot (TJP), Highway Pilot (HWP), and Auto Valet Parking (AVP) autonomous driving functions.

The company has been seeking investors for its Intelligent Automotive Solution (IAS) business unit after saying in November it would spin the unit off. IAS provides both components and full-stack integrated solutions to car manufacturers. Its value was reportedly estimated at between $28 billion and $35 billion.

Mercedes-Benz and Volkswagen were both reportedly approached to invest in IAS in an attempt to expand business interests globally.

Changan signed an agreement [PDF] to invest in a maximum 40 percent share. Seres said it was also asked to invest.

The Reg has asked Huawei for more details on the status of the MDC 810. ®

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