XPENG and the Volkswagen announce entry into the framework agreement on E/E architecture technical collaboration

XPeng (“XPENG”, NYSE: XPEV and HKEX: 9868), a Chinese smart electric vehicle company, and the Volkswagen, one of the automobile manufacturers, are pleased to announce that XPENG and the Volkswagen have entered into a framework agreement on technical collaboration with respect to Electrical/Electronic architecture (“E/E Architecture”).

XPENG’s in-house developed E/E Architecture is core to its vertically integrated full-stack software and hardware technologies. It allows software including ADAS and Connectivity OS to decouple from the underlying hardware and vehicle platforms, achieving fast iteration of software across platforms. XPENG’s latest generation of E/E Architecture adopts central computing and domain controller based architecture which provides high-performance in-car computing environment and competitive cost structure. The E/E Architecture supports Gigabit Ethernet high-speed data transmission between the central domain and ADAS domain controllers. Significant number of electronic control units have been integrated into the domain controllers, to highly integrated architecture and competitive cost structure. The E/E Architecture also supports highly efficient whole-vehicle OTA for both customers’ vehicles and vehicles at the end of manufacturing lines.

Under the E/E Architecture technical collaboration, XPENG and the Volkswagen, will jointly develop and integrate XPENG’s latest generation of E/E Architecture to Volkswagen’s China Main Platform (CMP) in China. The jointly developed E/E Architecture is expected to equip Volkswagen brand electric vehicles produced in China from 2026.

“The shared passion for technology and innovation brought XPENG and Volkswagen together. Both parties continue to contribute each other’s best to our strategic partnership. The technical collaboration based on our E/E Architecture takes our partnership to the next level and on a much larger scale. The collaboration will allow our Smart EV products to be both technologically competitive and cost competitive,” said Mr. Xiaopeng He, Chairman and CEO of XPENG.

Ralf Brandstätter, Member of the Board of Management of Volkswagen AG for China, said: “With our ‘In China, for China’ strategy, we are strengthening the innovative power of the Volkswagen in China. By expanding our partnership with XPENG and consistently integrating with China’s industrial ecosystem, we will align our products even faster to the needs of Chinese customers. Both partners bring their strengths to the table. This increases efficiency, optimises cost structures and accelerates the speed of development. High cost-effectiveness and a fast pace of development are crucial for our competitiveness in China’s dynamic market environment. Through such efforts, we are taking on a role in the age of intelligent connected vehicles.”