In the first quarter 2024 financial report of Xiaopeng Motors, it was revealed that the company's cooperation with Volkswagen Group brought direct benefits. According to the financial report, in the first quarter of 2024, Xiaopeng Motors' service and other revenue was RMB 1 billion, an increase of 93.1% from RMB 520 million in the same period of 2023. In fact, the growth of this revenue is mainly due to the technology research and development service revenue related to the platform and software strategic technology cooperation between Xiaopeng Motors and Volkswagen Group.
The disclosure of this financial report has raised industry expectations for the cooperation between Xiaopeng Motors and Volkswagen Group. On July 22nd, Xiaopeng Motors and Volkswagen jointly announced the signing of a strategic cooperation and joint development agreement for electronic and electrical architecture technology. Both parties will fully invest in developing industry-leading electronic and electrical architectures for Volkswagen's CMP and MEB platforms produced in China.
It is reported that this is the specific implementation of the strategic cooperation framework agreement on electronic and electrical architecture technology signed by both parties in April this year. It is reported that in the strategic cooperation of electronic and electrical architecture technology, Xiaopeng Motors and Volkswagen Group have established joint development project teams in Guangzhou and Hefei. Engineers from both sides will work closely together to accelerate the development process of electronic and electrical architecture.
The Securities Times reporter learned that the first vehicle model equipped with the jointly developed electronic and electrical architecture is expected to be mass-produced within 2 years.
The cooperation in electronic and electrical architecture is the third important milestone achieved within one year of our long-term strategic partnership with Volkswagen Group. With the high trust between Volkswagen and Xiaopeng Motors, as well as the collaborative efforts of our engineers, the development of our cooperative projects has progressed rapidly and significant synergies have been achieved, "said He Xiaopeng, Chairman and CEO of Xiaopeng Motors.
For this cooperation, Volkswagen Group also has high expectations and will closely link it with Volkswagen's electrification strategy in the Chinese market. Volkswagen Group (China) Chairman and CEO, Beryl, stated that our cooperation has taken a new step forward. This is another milestone in Volkswagen Group's continued implementation of the "in China, for China" strategy. Starting from 2026, all pure electric vehicle models launched by Volkswagen in the Chinese market will be equipped with this powerful and efficient electronic and electrical architecture, "said Baird
In addition, according to this joint development agreement, Xiaopeng Motors and Volkswagen Group will actively explore opportunities for further cooperation to expand the application scope of the jointly developed electronic and electrical architecture. Both parties have reached a consensus on promoting strategic cooperation in electronic and electrical architecture, and hope to further strengthen the strategic partnership.