Tesla CEO Elon Musk has tried over the years to convince Chinese regulators to provide autonomous driving capabilities in one of the company's most important markets.
After a series of false starts, Musk is closer than ever.
Tesla said on Tuesday that some Chinese drivers can use the company's autopilot capabilities on the streets to help with lane changes and other more advanced tasks. Cars using the update, a similar Tesla autopilot feature in the US, are not completely autonomous and require supervision from the driver. This update will be available to Tesla owners who have paid an additional $8,800.
The news marked a breakthrough for Mr Mus of China, where his company faces increasingly tough competition. This is an important step towards Musk's goal of providing fully automated driving in China. This will help Tesla recover some of the market share it has lost in recent years.
Musk has identified autonomous driving technology as important for Tesla's future. The company is behind in China, where regulators are slow to approve the latest autonomous driving features. A few days after highlighting the importance of technology for investors last year, Musk traveled to Beijing to meet with Li Qiang, China's second-largest employee. Shortly afterwards, Tesla is a group of Chinese automakers and was approved for data security precautions on some models.
Musk has since been promoted to the position of power in the US government as an aide to President Trump, who is on the verge of China over trade policy.
“By obtaining approval for the most advanced autonomous driving technology, we will “provide Tesla with another three to five years of technology leadership,” said Michaeldan, an automotive consultant and former General Motors executive.
Tesla was once the dominant player in China, expanding in a market where other foreign companies were given perks that were rarely given. Recently, Tesla has been racing to roam China with local rivals. The biggest competitor, BYD, recently announced an assistive driving system that uses artificial intelligence and other advanced technologies.
Musk has been working to convince regulators to deploy fully automated driving approvals. However, as Musk recently explained to investors, Tesla is stuck between Chinese regulations, preventing it from training driving models to remove data outside the country, and autonomous driving in China There are American authorities who don't train the system.
Tesla has a data center in Shanghai and collects data from vehicles sold in China for many years, but that information cannot be left. Tesla is currently using video of Chinese streets available online to inform its training, Musk told investors in a recent revenue call.
This is part of the wider digital curtain-related issues drawn between the US and China as the relationship between the two economic forces deteriorates. Last year, the Biden administration effectively banned Chinese electric vehicles and Chinese-developed software used in internet-connected vehicles.
For Tesla, “What's important is whether its computing power training and other things can be localized in China,” said Cui Dongshu, executive director of the China Passenger Automobile Association. “Without setting up a computing center in China, we cannot calculate these things and will not be able to adapt to China's driving capabilities.”
You contributed research from Beijing, and Claire Hu contributed report from Seoul.
