Chinese EV Maker Xpeng to Hire 4,000 and Invest in AI to Survive ‘Bloody Sea’ of Competition
Chinese EV Maker Xpeng to Hire 4,000 and Invest in AI to Survive ‘Bloody Sea’ of Competition
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- Xpeng is hiring 4,000 new employees in 2024, growing the workforce by 25%.
- Investing $486 million in AI research for autonomous driving tech.
- It aims to launch 30 new models or updated vehicles over three years.
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Chinese electric vehicle manufacturer Xpeng aims to boost its workforce by 25% and pour millions into artificial intelligence research to stay afloat in China’s increasingly competitive EV market.
The company announced plans to hire 4,000 new employees in 2024, expanding its total headcount from 15,829 at the end of 2023 to nearly 20,000.
This massive recruitment drive comes as Xpeng seeks to ramp up production and technology development.
In a letter to employees, Xpeng CEO He Xiaopeng described the Chinese auto market as a “bloody sea” of competition and stated that 2024 will be the “knockout round” for domestic brands.
To gain an edge over rivals like Nio, Xpeng will invest 3.5 billion yuan ($486 million) in AI research for intelligent driving capabilities.
Over the next three years, the company aims to roll out around 30 new models or updated versions of existing vehicles.
The expansion efforts contrast other EV startups downsizing to cut costs amid waning demand.
Nio recently trimmed its workforce by 10% to improve efficiency as competition heats up.
However, Xpeng is looking to buck the trend in 2023, with He stating that the tough macroeconomic environment presents an opportunity for the company to pull ahead of competitors.
Xpeng expects to “enter a high-speed positive cycle” by Q4 2024.
Xpeng also responds to European trade probes into Chinese EV subsidies to boost overseas sales.
The company plans to cooperate with foreign partners to overcome regulatory hurdles.
With backing from Volkswagen, which owns a 5% stake in Xpeng, the Chinese automaker aims to double its performance in 2024.
This aggressive growth strategy could help Xpeng thrive even as the broader car market slows.
