U.S. listed Chinese internet giant Baidu Inc (NASDAQ:BIDU) is following in Nio Inc's (NYSE:NIO) footsteps to adopt Nvidia Corp’s (NASDAQ:NVDA) self-driving chip capabilities, cnEVpost reported on Wednesday.
What Happened: Nio chose Nvidia over Intel Corp’s (NASDAQ:INTC) Israeli-base self-driving tech subsidiary Mobileye for its NT 2.0 platform.
Baidu’s car-making unit JiDU has said its first production vehicle, which is expected next year, would be powered by Nvidia's DRIVE Orin system-on-a-chip (SoC) and have L4 capability.
There are five levels of automation under standards created by SAE International. A Level 4 system implies the vehicle can handle all aspects of driving without human intervention. Tesla is currently at Level 2.
Nio’s ET7 and ET5 sedans are based on the NT 2.0 platform and powered by Nvidia Orin chips.
See Also: Baidu-Geely Joint Venture Aims $7.7B Investment In Smart Car
Why It Matters: Baidu and Zhejiang Geely Holding Group (OTC:GELYF) last year said they would pump in $7.7 billion in their joint venture JiDU Auto to develop smart-car technology over the next five years. Baidu owns a 55% stake and Geely a 45% stake in the joint venture.
JiDU will look at launching an electric vehicle with robotic looks within three years and then release a new model every year or 18 months.
Price Action: Baidu shares closed 1.8% lower at $143.9 a share on Wednesday.
